Hong Kong construction company enters $483 million agreement to buy 4,250 BTC; shares briefly jump 30%

Ming Shing Group Holdings Limited, a Nasdaq-listed construction service provider specializing in wet trades, announced Wednesday that it has entered a bitcoin purchase agreement to buy 4,250 BTC.

The Hong Kong-based company's agreement involves a $482.9 million transaction with Winning Mission Group, a company registered in the British Virgin Islands, which will sell the 4,250 BTC at an average price of $113,638 per bitcoin.

The deal, which is expected to close by the year-end, will not be paid for in cash. Instead, Ming Shing will issue convertible promissory notes and stock warrants to the seller, the announcement said.

The transaction extends to a third party, Rich Plenty Investment Limited, which will receive half the value of the deal. Both the original seller and the new assignee will each get a convertible note worth over $241 million and a warrant to purchase more than 200 million of Ming Shing's shares, according to the press release.

“We believe the Bitcoin market is highly liquid and the investment can capture the potential appreciation of Bitcoin and increase the Company’s assets," said Wenjin Li, CEO of Ming Shing. "We are devoted to creating additional value for our shareholders and actively exploring options for the Company to grow further.”

The company's stock MSW momentarily jumped 29% on the news on Wednesday. It closed the day 11.5% higher to trade at $1.65.

Ming Shing's pivot adds to the long list of public companies that have incorporated bitcoin into their treasury strategy. Led by Michael Saylor's Strategy, public bitcoin treasury companies hold 3.93% of bitcoin's entire supply, according to The Block's data dashboard.