One of the most unlikely firms was recently crowned a unicorn with its rocketing stock seemingly at odds with its modest offering.
Founded in 2009, The Smarter Web Company is an agency based in Guildford which offers website design and development alongside marketing services for “affordable” prices.
Recent blog posts include ‘What is a Content Management System?’ and a short piece about the importance of logo design to a new company. Even the name of the firm itself screams middle of the road.
Yet after floating on Aquis in April, it became comfortably the highest-valued stock on that exchange – and even broke a £1bn market cap a month ago.
So how did The Smarter Web Company PLC become more valuable than JD Wetherspoon and Aston Martin?
The company’s founder is former Hargreaves Lansdown head of digital Andrew Webley, who is well-versed in the world of cryptocurrency and, in particular, Bitcoin.
Since 2023 the company has adopted a policy of accepting payment in Bitcoin as it “believes that Bitcoin forms a core part of the future of the global financial system”.
More pertinently, it is also “exploring opportunities through organic growth and corporate acquisitions is pioneering the adoption of a Bitcoin Treasury Policy into its strategy”.
Upon listing, Webley told This is Money that his ambition was to make the FTSE 100 of the UK’s most valuable listed companies.
The company would have to move to the London Stock Exchange to be eligible, but that seemed the lowest of the barriers to achieving what seemed a preposterous goal for a firm which floated with a valuation of £3.7m.
Yet when its share price broke 500p a month ago, The Smarter Web Company found its market cap reaching £1.1bn, which would place it in the middle of the FTSE 250 – admittedly well short of the FTSE 100.
Crucially, the firm holds a subscription agreement with Shard Merchant Capital, which allows it to capitalise on its soaring share price via a ‘daily rebasing’ feature which means it can continuously access capital markets at prevailing market prices.
This dynamic funding mechanism adapts to changing market conditions and investor sentiment.
And The Smarter Web Company has capitalised, recently raising £41.2m via an accelerated bookbuild – a process where a company raises capital quickly without any marketing push – and just this morning adding another £17.5m.
It seems fairly obvious where much of this will be spent: it recently appointed a Bitcoin strategy consultant, Jesse Myers, and days before the former fundraise, it purchased 196 BTC, valued at the time at $20m, at an average price of $103,290 piece – to take its holdings to more than 543 BTC.
At the time it was worth $58.19m, well short of its market cap today of £778.95m.
Glen Goodman, author of the book The Crypto Trader, told This Is Money that Webley had “identified a huge gap in the market for Bitcoin investment vehicles, caused by the FCA (Financial Conduct Authority) banning retail investors from putting Bitcoin investments in their Isas”.
In effect, by mimicking firms such as US giant MicroStrategy, The Smarter Web Company has become a Bitcoin investment fund.
However Webley claims that the attention is translating into increased customer enquiries for the business, while he is actively looking at acquisition opportunities of actual companies.
“The company will progress an acquisition strategy targeting other businesses with a view to growing its number of clients and/or recurring revenue,” it stated this morning.
At the time of writing, Bitcoin’s valuation stands at just below $120,000.
Among the growing number of UK businesses adopting Bitcoin treasury policies is Cel AI Plc, a firm once backed by David Beckham.
Cel AI, which began life as a CBD beauty products firm but has pivoted to GenAI-generated beauty advice, recently raised £10m in a share placing specifically to buy Bitcoin.
“This funding provides us with the resources to continue growing our core business and delivering on the opportunities ahead,” said recently appointed executive chair Olivia Edwards.
“At the same time, introducing a Bitcoin treasury approach will enable us to take a forward-thinking stance on capital management, supporting long-term value creation while staying true to our belief in technology-led resilience.”