Undervalued Report: The Smarter Web Company
“The fastest horse”
I just had to write a note on The Smarter Web Company (SWC.AQ) after the price action last week. We saw a mini bubble inflate and pop in the microcap bitcoin treasuries space, and SWC was caught up in it. I liked the company before, but now it has sold off (down some 68% from the peak), amid perhaps the best week fundamentally in its short history, I think it’s an incredible opportunity. I’ve been putting a significant percentage of my portfolio into it at these levels. My cost basis is £2.29 a share.
Stats
Ticker: SWC.AQ (OTC: TSWCF)
Share price: £2.00
Share count: 242m
Warrants: 96m
Market cap: (242+96) x £2.00 = £676m
BTC balance: 543.5 = ~£42m
Cash: ~£72m
NAV: ~£114m
mNAV1: ~5.9
(Thanks to @ZynxBTC on X for information on the warrants.)
Overview
The Smarter Web Company is a UK web design business pursuing a bitcoin treasury strategy. It IPOed on 25 April 2025 on the Aquis Stock Exchange at a £3.7m market cap for 2.5p per share. The stock has done an 80x in two months, which must be the best performing IPO in the UK ever! I was following it, but unfortunately didn’t buy it at the IPO, as there was limited publicly available information about the strategy, and the investor materials were lacking.
However, I don’t think we’ve missed it. Yes, we’ve missed the first 80x from the IPO (which was only really possible to catch from luck or by personally knowing the management team), but in terms of the journey of SWC as a public company, this is still very early days.
The company is now in the best position it’s been in, with ~£114m of assets, an exemplary track record of executing on its treasury strategy, with a high level of trust built in the management, and the mNAV the lowest it’s been.
From watching Metaplanet (3350.T) last year, the Tokyo listed bitcoin treasury, we’ve seen how this strategy can play out when executed well, and it seems SWC is the UK’s Metaplanet. It’s growing much faster than Metaplanet, from a smaller base, while the mNAV is about the same.
Management
CEO Andrew Webley founded the web design company in 2009. Previously he was Head of Online at Hargreaves Lansdown. Having closely followed the interviews Andrew has done for a couple of months, I came to the conclusion that he is “the real deal”. His work ethic, transparency, humility and level-headedness are second to none. He’s been successful in raising exponentially more capital, approximately every 10 days. His spoken and paramount focus on the shareholders, which is rare in the UK, reminds me of Warren Buffett. It’s also worth noting, Michael Saylor (MSTR) made the time to meet Andrew in London last week for an in-depth discussion on Andrew’s strategy (detailed in this recent interview).
Tyler Evans, Non-Executive Director, is the co-founder and CIO of UTXO Management, and also a Director at Metaplanet. Tyler Evans and UTXO Management are the same team that have supported Metaplanet to stratospheric success.
Jesse Myers joined the company on 18 June as Bitcoin Strategy Consultant. Jesse co-founded Onramp Bitcoin. His valuation framework for modelling the future trajectory of bitcoin’s price was adopted by Michael Saylor (Strategy). I’ve been following Jesse and his work for years. He personally invested almost £1m when he came aboard.
Strategy
The strategy, straight out of Michael Saylor’s playbook, is to sell equity and buy bitcoin, thus accreting bitcoin per share.
We have seen institutional subscriptions and bookbuilds for new shares, as well as WRAP retail offers and direct subscriptions. These are deals where shares are sold off the market, not into the market. The last one was an accelerated bookbuild and subscription, announced on 26 June for £41.2m.
There is also an ATM-like programme, announced on 19 June, where SWC’s broker can sell shares into the market (up to 21 million, with a first tranche of 7 million). These shares cannot be sold below the Aquis closing price from the previous day, and they cannot exceed 20% of volume.
The company then dollar-cost averages the proceeds into bitcoin until they do another capital raise.
Investment thesis
Management has shown a high-octane but carefully choreographed pace of raising capital and deploying it into bitcoin, which shows no sign of slowing down for now. There have been larger capital raises about every 10 days, where tens of millions have been raised in a few hours, and these have been massively oversubscribed. The company clearly has some strong institutional (and probably international) backers. If the company keeps up this pace, the NAV could match the current market cap within a couple of months. After that is pure upside.
This is the bitcoin treasury company with the fastest “Days to Cover mNAV”2 metric: ~31 days3. For this reason, SWC has been called “the fastest horse” in the bitcoin treasury race. Their pace is outstripping Metaplanet’s in its early days, able to reach the 1,000 bitcoin milestone in just 10 weeks since inception of the strategy (in a few days from now), when it took Metaplanet 6 months. SWC’s bitcoin yield since IPO has been over 8% PER DAY!
Considering the amazingly short “Days to Cover” and eye-popping daily yield, and that we’re in a bitcoin bull market with demand to be invested with the fastest executors in the world, I would expect the mNAV rises as well. The space crashed last week following a mini-mania, with several pretenders in the UK having their stocks explode, sometimes on the mere announcement of a bitcoin strategy, but the capital should return for at least the best quality company in each region.
We’ve seen the mNAV drop lower after a capital raise previously (to around 8), and stay there for a few days, before building up again and then rising to over 20. Currently we’re under 6. I would expect this to repeat.
CEO Andrew Webley bought shares on Thursday and Friday at higher prices than they are now. Add to that comments he made in an interview, and it’s clear he feels the shares are a bargain.
SWC could be the fastest horse for this bull market. And, in the long run, it could become one of the UK’s largest companies. Considering the pace they’re going, it looks very possible for the stock to 10x from here THIS YEAR!
Risks
The major risk is that the premium comes down and stays down, slowing the flywheel of accretive capital raises and bitcoin buys.
Another risk is market saturation, as several other UK companies have recently followed suit and announced a bitcoin treasury strategy. (However, I see SWC as in a different league to the other UK companies. SWC is way ahead in its bitcoin balance, its management, its commitment to its strategy, its pace of execution and its commitment to shareholders.)
Key person risk – although this is mitigated by the recent addition of Jesse Myers.
Bitcoin price.
Conclusion
While the premium coming down further is a risk, my thesis is that the bitcoin bull market has a way to go for at least the rest of this year, and that there will be plenty of demand from equity investors for exposure. The apparent ease at which the company is raising exponentially bigger sums every 10 days or so illustrates this. (Andrew even said the institutional investors in the bookbuilds don’t particularly care about the price!) The US OTC ticker was only just listed two weeks ago, and the initial demand for that helped to 3x the stock in four days.
It seems treasury companies are the new alt-coins of this cycle. While we did have a mini-mania in the alt-treasury space, this was contained and did not spread to the general population or mainstream finance. This is still very much under the radar of the mainstream. If treasury companies behave as alt-coins did in previous bull cycles, and alt-treasury season began in May, it should run until about November.
This market environment should allow the stock to trade at a higher mNAV, which in turn will make it more accretive. If the bitcoin price rises as we expect in the autumn, after they have accumulated over the summer, that will add rocket fuel – although, frankly, we’re not sure any is needed for this stock to continue performing!
The current price presents a chance to buy significantly lower than the institutions paid in the last £41m bookbuild (£2.90), and lower than Andrew Webley himself paid last week.
Research Resources:
Research note by Tennyson Securities: https://investors.smarterwebcompany.co.uk/investors/_img/pdf/research/RES_SWC_260625.pdf
Shareholder community YouTube channel for interviews with Andrew Webley: https://www.youtube.com/@SWCandBTC/streams (I’ve had the pleasure of meeting James in person to discuss the company, who regularly interviews Andrew on this channel.)
SWC website: https://investors.smarterwebcompany.co.uk
SWC Smarter Web Company BTC Community on X: https://x.com/i/communities/1915673628013662563
SWC Dash: https://swc-dash.com
Webley tracker: https://thesmarterinvestmentguy.com/swc/
Final note
I’ve recently launched an investment sector and investor relations marketing agency: www.equityedgestudio.com
Feel free to get in touch for a chat about your marketing materials. More plans are to follow!
Written by Timothy Lamb
X: @theretailbull
Disclosure:
The writer owns shares in SWC.AQ at the time of writing.
Disclaimer:
This article is for informational purposes only, does not offer investment advice and does not recommend the purchase or sale of any security or investment product. Please see the full disclaimer on the About page.
mNAV: the market cap’s multiple to the net asset value. A metric used in the bitcoin treasuries space.
Days to Cover mNAV – the number of days it would take to match the current market cap with NAV, if the recent pace of accretive dilution is maintained.