Beckham-backed Prenetics abandons Bitcoin accumulation plans and shifts focus to health brand IM8

According to Odaily Planet Daily, Prenetics Global, a nutritional supplement company backed by David Beckham, has announced that it will discontinue its Bitcoin accumulation strategy, less than three months after it raised funds for its cryptocurrency treasury program.

Prenetics stated that it will refocus its strategic efforts on its consumer health brand IM8, which it calls "the fastest-growing supplement brand in the industry's history." In its latest statement, the company explicitly stated that it will not be making any further purchases of Bitcoin (BTC).

Previously in October, Prenetics completed an oversubscribed $48 million equity financing round on Nasdaq, with the funds originally planned to be used to advance its Bitcoin Treasury strategy and expand its IM8 business. Investors at the time included Kraken, Exodus, GPTX (owned by Jihan Wu), DL Holdings, and American Ventures.

As of now, Prenetics discloses that it still holds 510 BTC and has over $70 million in cash and cash equivalents. CEO and co-founder Danny Yeung stated that the board and management agree that focusing resources on the growth opportunities of IM8 is the best path to achieving long-term, sustainable shareholder value.

The Block points out that amid the recent crypto market correction, some "crypto asset treasury companies" are adjusting their strategies, including slowing down or halting their acquisitions of digital assets, and instead focusing on stock buybacks or diversifying their business. (The Block)