Stack BTC Aims to Purchase Gold Dealer for $16 Million to Boost Bitcoin Holdings

Stack BTC, the U.K. bitcoin treasury firm backed by Nigel Farage, is looking to acquire precious metals dealer Direct Bullion for up to £12 million (approximately $16 million). The intention behind this acquisition is to utilize the cash flow generated from sales of precious metals to enhance its bitcoin holdings.

Acquisition Strategy Focused on Bitcoin Growth

The proposed deal is structured to include £3 million in cash, around £4 million in shares at the time of completion, and £5 million in performance-related cash payments. The shares will be issued at a minimum price of 6 pence each, accompanied by a four-year lock-in period.

This acquisition is considered a related-party transaction, as Stack director Paul Withers has connections to the seller of Direct Bullion. It is classified as a reverse takeover and remains subject to due diligence and final agreements.

In the fiscal year ending January 2026, Direct Bullion reported revenues of £52.1 million and a profit after tax of £2.15 million. This potential purchase would be the first for Stack under its strategy of acquiring profitable businesses to finance bitcoin investments.

Kwasi Kwarteng, the executive chairman of Stack BTC, stated, "Buying bitcoin directly from capital raising and also buying businesses to generate fiat to buy bitcoin: This is the twin pillar strategy in action.”

Nigel Farage's involvement was made public on March 9, when he acquired a stake of approximately 6.3% in Stack BTC through a £215,000 investment via his company, Thorn In The Side.

This announcement comes shortly after Reform UK, the political party led by Farage, received approximately $97 million in donations from crypto billionaires Christopher Harborne and Ben Delo, with each contributing $48.5 million.

Currently, Stack BTC holds about 68 BTC, valued at around $5.2 million, and its shares fell by 1% following the announcement of the acquisition plans.