The post MicroStrategy Upsizes Strike Preferred Stock Offering from $250M to $584M appeared first on Coinpedia Fintech News
In a latest development, Microstrategy has announced pricing of its Strike Preferred Stock (STRK) Offering and upsized the deal from $250M to $584M. It announced the pricing of its offering on January 30, 2025, of 7.3 million shares of 8.00% Series A Perpetual Strike Preferred Stock at $80 per share.
MicroStrategy’s (MSTR) first effort to raise capital through perpetual preferred stock likely saw strong demand. The company estimates that the net proceeds from the offering will be approximately $563.4 million after deducting the underwriting discounts and commissions and the company’s offering expenses. The sale of the perpetual strike preferred stock is set to settle on February 5, 2025, pending standard closing conditions.
Notably, the preferred stock will have a $100 per share liquidation preference with 8.00% annual cumulative dividends, payable quarterly starting March 31, 2025. Dividends can be paid in cash, class A common stock, or a combination.
The company intends to use the net proceeds from the offering for general corporate purposes, including the acquisition of bitcoin and for working capital.
Microstrategy Boosts Holdings to 471,107 BTC
Recently, Microstrategy acquired an additional 10,107 BTC for approximately $1.1 billion at an average price of $105,596 per bitcoin between Jan. 21 and Jan. 26. The company now holds 471,107 BTC worth over $46 billion.
0 Comments