Shares of Twenty One Capital have risen by over 8% in after-hours trading following a proposal by majority shareholder Tether Investments to merge with Strike and Elektron Energy. The proposed merger, which Tether intends to vote in favor of, would bring together bitcoin-focused firm Twenty One Capital, global bitcoin financial services company Strike, and Elektron Energy under one roof.
Jack Mallers, founder of Strike and CEO of Twenty One Capital, would lead the combined entity alongside Raphael Zagury, who would serve as President. The merger aims to create a premier listed bitcoin company, integrating bitcoin treasury, mining, financial services, lending, and capital markets into a single platform.
Led by Zagury, Elektron Energy currently manages around 5% of the bitcoin network's computing power. If the merger is successful, it would expand Twenty One Capital's focus beyond bitcoin accumulation, providing a platform with operating businesses and recurring revenue opportunities. The terms and timeline of the proposed merger have not been disclosed.