3iQ Corp stands as an investment manager based in Toronto, Canada. The investment management firm is aiming to raise more funding, doing so by undertaking a treasury offering. This treasury offering is for its publicly-traded Bitcoin Fund (QBTC.U), and will trade within the Toronto Stock Exchange.
The Finer Details
The firm had released a statement today, which went into detail regarding the investment breakdown. 3iQ stated that the managed fund aims to sell up to 1,050,000 in Class A Units, with the plan being to raise 25,200,000 CAD, or around $19.3 million.
The price for these Class A Units has been set at 24.00 CAD per unit. This stands as a favorable pricing, as it managed to close on the TSX at around CAD 30.38. Initially, the closed-end BTC fund of 3iQ had only offered Class F and Class A units, offering both for $10 apiece. Originally, there was no limit on minimum purchases, which was done in order to attract as many buyers as they can.
USD-Listed Canada-Based BTC Fund
In the company statement, it stated that the offering price for the Class A Unit was determined in such a way as to be non-dilutive for the most recent net asset value calculated for a Class A Unit. This was calculated on the 5th of November, 2021, adding in the expenses of the offering and the Agent’s fee.
In an amusing little twist, 3iQ Corp’s Bitcoin fund is valued by way of USD, all the while it’s being traded within a Canadian exchange, and is offered by a Canadian investment fund manager.
3iQ already boasts two private investment funds under its management: The 3iQ Global Crypto Asset Fund and the 3iQ Bitcoin Trust. Both of these funds started as a private placement, only available to institutional, accredited Canadian investors.
It was earlier this year when 3iQ announced a merger of its 3iQ Bitcoin Trust, turning it into The Bitcoin Fund. As it stands now, it’s distributing Class B Units of this fund as qualified under its prospectus.
Pushing For More Investors
This Exchange-traded product allows stockholders the ability to gain direct exposure to the value of Bitcoin. The plan of gaining capital appreciation for the non-redeemable investment funds is by way of long-term holding strategies.
3iQ had previously gained the needed approval from the Ontario Securities Commission after an appeal in order to offer its Bitcoin Fund to Canadian investors. Back in September, 3iQ had proceeded to float its bitcoin Fund within the Gibraltar Stock Exchange. The move itself was made in a bid to broaden its base of investors beyond its origins Canada listing scope.