Shares of Twenty One Capital, a bitcoin-focused company, have risen over 8% in after-hours trading on Wednesday, following a merger proposal by majority shareholder Tether Investments with Strike and Elektron Energy. Tether Investment, the independent investment arm of the stablecoin issuer, intends to vote in favor of combining Twenty One Capital with Strike, a global bitcoin financial services company founded by Jack Mallers, and Elektron Energy.
According to a press release, this move would position Twenty One Capital to become the world's premier listed Bitcoin company, integrating bitcoin treasury, mining, financial services, lending, capital markets, and strategic consolidation into one platform. The proposed merger, which would see Raphael Zagury serve as President of the combined entity, aims to leverage Zagury's mining and capital markets expertise alongside Mallers' product and consumer bitcoin leadership. With no terms or timelines disclosed, the merger is set to expand Twenty One Capital's focus beyond bitcoin treasury exposure to a more comprehensive platform with operating businesses and recurring revenue opportunities.