Michael Saylor’s Strategy on Monday announced the STRD perpetual preferred stock offering. The move comes as part of the company’s plans to use funds raised for general corporate purposes, including the acquisition of Bitcoin and for working capital.
Barclays, Morgan Stanley, Moelis & Company, and TD Securities are the joint book-running managers to lead the offering. Also, The Benchmark Company, AmeriVet Securities, Bancroft Capital, BTIG, and Keefe, Bruyette & Woods are acting as co-managers for the offering.
Strategy Declares STRD Shares IPO to Acquire Bitcoin
Strategy (formerly MicroStrategy) intends to conduct an initial public offering of 2.5 million shares of Strategy’s 10.00% Series A perpetual Stride Preferred Stock (STRD), as per a press release. Moreover, the STRD stock will offer non-cumulative cash dividends at an annual rate of 10 percent, paid quarterly.
“Strategy intends to use the net proceeds from the offering for general corporate purposes, including the acquisition of bitcoin and for working capital,” stated the company. Also, Strategy added that the STRD Stock will be offered at $100 per share, thus raising $250 million from the preferred stock offering.
Chairman Michael Saylor, in a post on X, confirmed that the perpetual preferred stock offering will be available to institutional investors and select non-institutional investors.
Today, the company also revealed the latest $75.1 million Bitcoin purchase. The company’s holdings now stand at 580,955 BTC, valued at over $61 billion currently. Michael Saylor’s Strategy has made over $20.2 billion in unrealized gains, as per Saylor Tracker. This positions the firm as one of the most successful corporate Bitcoin investors.
Meanwhile, MSTR stock closed up nearly 0.87% at $372.27 on Monday amid a swift recovery in the US stock market. MSTR shares are up over 24% year-to-date.
