Vanadi Coffee raises over $1.1 billion in Bitcoin investment

Vanadi Coffee and their investment decision

Vanadi Coffee, a publicly listed company on the BME Growth (Spain) exchange under the ticker symbol VANA, has been going through a difficult financial period.

The company reported a loss of 3.3 million euros (about $3.7 million) in 2024, exceeding its annual revenue of about 2 million euros, according to reports.

Vanadium's stock performance is also worrying, down 99% since its IPO in July 2023, from a price of €3.28 to €0.34 per share after a 10:1 reverse split in March 2025.

In a difficult financial context, President Salvador Martí proposed a bold strategy: transforming Vanadium from a traditional coffee chain into a “Bitcoin-first” company, inspired by MicroStrategy – an American software company that has successfully accumulated more than 580,000 BTC, reaching a market value of about 54.2 billion euros.

Vanadium’s plan includes raising capital through the issuance of new shares and convertible bonds to finance the Bitcoin purchase, with an initial investment of 5 BTC (about $500,000) made two weeks ago.

The reason behind the decision

With huge losses and a severe decline in stock performance, Vanadium needs a breakthrough strategy to recover.

Bitcoin, with a price that surpassed $110,000 by May 2025, is seen as a potential asset to increase corporate asset value and attract investor attention.

In fact, after the announcement of the plan, Vanadium shares increased by 54.5%, even increasing by 150% to 0.55 euros at one point.

anadi is not the first company to adopt this strategy. MicroStrategy, led by Michael Saylor, pioneered the use of Bitcoin as a reserve asset, leading to a 1,200% increase in its stock price in two years.

Other companies, from a Chinese logistics firm to a French soccer team, are also joining the trend, showing that Bitcoin is increasingly accepted as a strategic asset in businesses.

Martí not only wants to add Bitcoin to his portfolio, but also position Vanadium as a “Bitcoin-first” company. This includes reorienting the company’s entire financial strategy, focusing on cryptocurrencies instead of its traditional coffee business.

The risks involved are not small?

Although Bitcoin is at an all-time high, the cryptocurrency market is notorious for its volatility. Bitcoin’s price could fall sharply, severely impacting Vanadium’s balance sheet, especially given the company’s already fragile financial position.

With a market capitalization of just $4.2 million, raising $1.1 billion to invest in Bitcoin is a huge challenge.

The plan relies on issuing shares and convertible bonds, but it is unclear whether investors will have enough confidence to participate, especially given the company's history of losses and poor stock performance.

Evaluation and Conclusion

Vanadi Coffee’s decision to invest $1.1 billion in Bitcoin is a bold move, reflecting a shift in corporate strategic thinking amid a volatile global financial landscape. However, given its weak financial position, the plan carries many risks, from Bitcoin price volatility to the ability to raise capital. Can Vanadi replicate MicroStrategy’s success or will it serve as a cautionary tale about the risks of investing in cryptocurrencies? The answer will depend on the board’s decision on June 29, 2025, and how the market develops in the coming period.

Once again we give our opinion on potential projects in the crypto market. This is not investment advice, consider your portfolio. Disclaimer: The views expressed in this article are solely those of the author and do not represent the platform in any way. This article is not intended to be a guide to making investment decisions.

Compiled and analyzed by HCCVenture

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