Latest news with #PerpetualStridePreferredStock
Yahoo
3 days ago
- Business
- Yahoo
Bitcoin's rally means all of Strategy's purchases are profitable
(Bloomberg) — The mini rally in Bitcoin (BTC-USD) over the past few trading sessions has made every purchase of the cryptocurrency by Michael Saylor's Strategy (MSTR) over the last four plus years profitable. The former MicroStrategy Inc. announced earlier Monday that it had acquired an additional 1,045 tokens for $110.2 million from June 2 to June 8, or for an average price of $105,426 each. Bitcoin was up about 1.7% to $108,022 as of 12:39 p.m. in New York, and has climbed around 7.5% since June 5. Strategy has made around 70 separate purchase announcements since Saylor began to invest cash from the enterprise software maker's balance sheet into Bitcoin in the middle of 2020. That includes 15 purchases of $1 billion or more of Bitcoin, according to data compiled by Bloomberg. As the price of Bitcoin fluctuated over the years, many of the purchases were periodically under water. Saylor, who co-founded the Tysons Corner, Virginia-based firm and and serves as executive chairman, later begin selling common shares as well as preferred stock and debt to fund additional purchases. Strategy owns 582,000 Bitcoin, valued at about $62.9 billion, The overall average price per token is $70,086. The latest purchases were made with $112 million in net proceeds from the sale of the company's Strike preferred stock (STRK) and Strife preferred stock (STRF), according to a filing with the US Securities and Exchange Commission. Last week, Strategy sold another class of securities, called Perpetual Stride Preferred Stock, (STRD). The firm estimated it will realize net proceeds of about $979.7 million from the offering. The top 26 purchase announcements based on the average cost of Bitcoin have all happened in the last 12 months, data compiled by Bloomberg shows. Strategy is the leading corporate holder of the digital currency. Saylor has pledged to raise $84 billion in equity and debt. The Strategy playbook has inspired many copycats looking to share the same success from purchasing and holding cryptocurrencies to boost their share prices. Companies such as Mara, Gamestop, Semler and Trump Media have all announced plans to use cash to buy the cryptocurrency, but none have been able to replicate the successes Saylor's company enjoys. Shares of Strategy rose about 3.4% to $387.30 on Monday, and are up over 3,000% since July 2020. The S&P 500 Index has climbed around 93% during the same period, while Bitcoin has rallied about 1,060%. ©2025 Bloomberg L.P. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
3 days ago
- Business
- Yahoo
Bitcoin's Rally Means All of Strategy's Purchases Are Profitable
(Bloomberg) -- The mini rally in Bitcoin over the past few trading sessions has made every purchase of the cryptocurrency by Michael Saylor's Strategy over the last four plus years profitable. Next Stop: Rancho Cucamonga! Where Public Transit Systems Are Bouncing Back Around the World Trump Said He Fired the National Portrait Gallery Director. She's Still There. US Housing Agency Vulnerable to Fraud After DOGE Cuts, Documents Warn Senator Calls for Closing Troubled ICE Detention Facility in New Mexico The former MicroStrategy Inc. announced earlier Monday that it had acquired an additional 1,045 tokens for $110.2 million from June 2 to June 8, or for an average price of $105,426 each. Bitcoin was up about 1.7% to $108,022 as of 12:39 p.m. in New York, and has climbed around 7.5% since June 5. Strategy has made around 70 separate purchase announcements since Saylor began to invest cash from the enterprise software maker's balance sheet into Bitcoin in the middle of 2020. That includes 15 purchases of $1 billion or more of Bitcoin, according to data compiled by Bloomberg. As the price of Bitcoin fluctuated over the years, many of the purchases were periodically under water. Saylor, who co-founded the Tysons Corner, Virginia-based firm and and serves as executive chairman, later begin selling common shares as well as preferred stock and debt to fund additional purchases. Strategy owns 582,000 Bitcoin, valued at about $62.9 billion, The overall average price per token is $70,086. The latest purchases were made with $112 million in net proceeds from the sale of the company's Strike preferred stock (STRK) and Strife preferred stock (STRF), according to a filing with the US Securities and Exchange Commission. Last week, Strategy sold another class of securities, called Perpetual Stride Preferred Stock, (STRD). The firm estimated it will realize net proceeds of about $979.7 million from the offering. The top 26 purchase announcements based on the average cost of Bitcoin have all happened in the last 12 months, data compiled by Bloomberg shows. Strategy is the leading corporate holder of the digital currency. Saylor has pledged to raise $84 billion in equity and debt. The Strategy playbook has inspired many copycats looking to share the same success from purchasing and holding cryptocurrencies to boost their share prices. Companies such as Mara, Gamestop, Semler and Trump Media have all announced plans to use cash to buy the cryptocurrency, but none have been able to replicate the successes Saylor's company enjoys. Shares of Strategy rose about 3.4% to $387.30 on Monday, and are up over 3,000% since July 2020. The S&P 500 Index has climbed around 93% during the same period, while Bitcoin has rallied about 1,060%. --With assistance from Tom Contiliano. The SEC Pinned Its Hack on a Few Hapless Day Traders. The Full Story Is Far More Troubling Cavs Owner Dan Gilbert Wants to Donate His Billions—and Walk Again New Grads Join Worst Entry-Level Job Market in Years What America's Pizza Economy Is Telling Us About the Real One America Cast Itself as the World's Moral Leader. Not Anymore ©2025 Bloomberg L.P. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
6 days ago
- Business
- Yahoo
Strategy to Raise Nearly $1B With STRD Preferred Stock Offering to Accumulate BTC
Strategy (MSTR), the largest corporate holder of bitcoin BTC, has priced the new preferred stock offering designed to give long-term investors a fixed 10% annual return with no management fees. The firm will sell 11.76 million shares of its 10% Series A Perpetual Stride Preferred Stock (STRD), expecting to bring in an estimated $979.7 million after fees and expenses, according to a press release. The shares, which sit below Strategy's other preferred offerings STRF and STRK, are set to settle on June 10. Unlike STRF, which has senior status and lower volatility, and STRK, which is convertible and pays 8%, STRD offers the highest yield among Strategy's capital products while being riskier. It comes with a non-cumulative dividend, meaning missed payments won't accrue, and dividends will only be paid when declared by the board. STRD is designed to appeal to investors seeking high-yield options. The shares are non-callable under normal conditions, with redemption clauses kicking in only under certain tax events or structural shifts in the company, the release reads. Strategy says the proceeds of the offering are going to be used for general corporate purposes, which include the acquisition of additional bitcoin. The firm's shares are up 1.7% in pre-market trading at $ in to access your portfolio
Business Wire
02-06-2025
- Business
- Business Wire
Strategy Announces Proposed Initial Public Offering of STRD Stock
TYSONS CORNER, Va.--(BUSINESS WIRE)--Strategy™ (Nasdaq: MSTR; STRK; STRF) today announced that, subject to market and other conditions, it intends to conduct an initial public offering registered under the Securities Act of 1933, as amended (the 'Securities Act'), of 2,500,000 shares of Strategy's 10.00% Series A Perpetual Stride Preferred Stock (the 'STRD Stock'). Strategy intends to use the net proceeds from the offering for general corporate purposes, including the acquisition of bitcoin and for working capital. Dividends on shares of the STRD Stock will not be mandatory. Holders of the STRD Stock will be entitled to receive non-cumulative dividends at a rate per annum equal to 10.00% on the stated amount (as defined below) thereof, out of funds legally available for their payment to the extent paid in cash, only when, as, and if declared by our board of directors or any duly authorized committee thereof. If declared, regular dividends on the STRD Stock will be payable quarterly in arrears on March 31, June 30, September 30 and December 31 of each year, beginning on September 30, 2025. Since regular dividends are not cumulative, Strategy will not have any obligation to pay any regular dividend for any regular dividend period unless Strategy declares such regular dividend prior to the regular dividend payment date for such regular dividend period. No dividend, interest or other amount will accumulate or accrue on any unpaid regular dividends, regardless of whether regular dividends are declared for any future regular dividend period. Declared regular dividends on the STRD Stock will be payable solely in cash in the manner, and subject to the provisions, described in the prospectus supplement for the offering. Strategy will have the right, at its election, to redeem all, but not less than all, of the STRD Stock, at any time, for cash if the total number of shares of all STRD Stock then outstanding is less than 25% of the total number of shares of STRD Stock originally issued in the offering and in any future offering, taken together. In addition, Strategy will have the right to redeem all, but not less than all, of the STRD Stock if certain tax events occur. The redemption price for any STRD Stock to be redeemed will be a cash amount equal to the liquidation preference of the STRD Stock to be redeemed as of the business day before the date on which Strategy sends the related redemption notice, plus declared and unpaid regular dividends, if any, that will have accrued to, but excluding, the redemption date (and without payment of any undeclared regular dividends). If an event that constitutes a 'fundamental change' under the certificate of designations governing the STRD Stock occurs, then, holders of the STRD Stock will have the right to require Strategy to repurchase some or all of their shares of STRD Stock at a cash repurchase price equal to the stated amount of the STRD Stock to be repurchased, plus declared and unpaid regular dividends, if any, that will have accrued to, but excluding the fundamental change repurchase date (and without payment of any undeclared regular dividends). The liquidation preference of the STRD Stock will initially be $100 per share (the 'stated amount'). Effective immediately after the close of business on each business day after the initial issue date (and, if applicable, during the course of a business day on which any sale transaction to be settled by the issuance of STRD Stock is executed, from the exact time of the first such sale transaction during such business day until the close of business of such business day), the liquidation preference per share will be adjusted to be the greatest of (i) the stated amount per share of STRD Stock; (ii) in the case of any business day with respect to which Strategy has, on such business day or any business day during the ten trading day period preceding such business day, executed any sale transaction to be settled by the issuance of STRD Stock, an amount equal to the last reported sale price per share of STRD Stock on the trading day immediately before such business day; and (iii) the arithmetic average of the last reported sale prices per share of STRD Stock for each trading day of the ten consecutive trading days (or, if applicable, the lesser number of trading days as have elapsed during the period from, and including, the initial issue date to, but excluding, such business day) immediately preceding such business day. Barclays, Morgan Stanley, Moelis & Company and TD Securities are acting as joint book-running managers for the offering. The Benchmark Company, AmeriVet Securities, Bancroft Capital, BTIG and Keefe, Bruyette & Woods are acting as co-managers for the offering. The offering is being made pursuant to an effective shelf registration statement on file with the Securities and Exchange Commission (the 'SEC'). The offering will be made only by means of a prospectus supplement and an accompanying prospectus. An electronic copy of the preliminary prospectus supplement, together with the accompanying prospectus, is available on the SEC's website at Alternatively, copies of the preliminary prospectus supplement, together with the accompanying prospectus, can be obtained by contacting: Barclays Capital Inc., c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, by email at barclaysprospectus@ or telephone at 1-888-603-5847, Morgan Stanley & Co. LLC, Attention: Prospectus Department, 180 Varick Street, 2nd Floor, New York, NY 10014, by phone: 1-866-718-1649 or by email: prospectus@ Moelis & Company LLC, 399 Park Avenue, 4th Floor, New York, New York 10022 or by telephone at (800) 539-9413, or TD Securities (USA) LLC, 1 Vanderbilt Avenue, 11th Floor, New York, NY 10017, by telephone at (855) 495-9846. This press release does not constitute an offer to sell, or the solicitation of an offer to buy, any securities referred to in this press release, nor will there be any sale of any such securities, in any state or other jurisdiction in which such offer, sale or solicitation would be unlawful prior to registration or qualification under the securities laws of such state or jurisdiction. About Strategy MicroStrategy Incorporated d/b/a Strategy (Nasdaq: MSTR/STRK/STRF) is the world's first and largest Bitcoin Treasury Company. We are a publicly traded company that has adopted Bitcoin as our primary treasury reserve asset. By using proceeds from equity and debt financings, as well as cash flows from our operations, we strategically accumulate Bitcoin and advocate for its role as digital capital. Our treasury strategy is designed to provide investors varying degrees of economic exposure to Bitcoin by offering a range of securities, including equity and fixed-income instruments. In addition, we provide industry-leading AI-powered enterprise analytics software, advancing our vision of Intelligence Everywhere. We leverage our development capabilities to explore innovation in Bitcoin applications, integrating analytics expertise with our commitment to digital asset growth. We believe our combination of operational excellence, strategic Bitcoin reserve, and focus on technological innovation positions us as a leader in both the digital asset and enterprise analytics sectors, offering a unique opportunity for long-term value creation. Strategy, MicroStrategy, and Intelligence Everywhere are either trademarks or registered trademarks of MicroStrategy Incorporated in the United States and certain other countries. Other product and company names mentioned herein may be the trademarks of their respective owners. Forward-Looking Statements Statements in this press release about future expectations, plans, and prospects, as well as any other statements regarding matters that are not historical facts, may constitute 'forward-looking statements' within the meaning of The Private Securities Litigation Reform Act of 1995. These statements include, but are not limited to, statements relating to the size and timing of the offering, the anticipated use of any proceeds from the offering and the terms of the securities being offered. The words 'anticipate,' 'believe,' 'continue,' 'could,' 'estimate,' 'expect,' 'intend,' 'may,' 'plan,' 'potential,' 'predict,' 'project,' 'should,' 'target,' 'will,' 'would,' and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including the uncertainties related to market conditions and the completion of the offering on the anticipated terms or at all, the other factors discussed in the 'Risk Factors' section of Strategy's Quarterly Report on Form 10-Q filed with the Securities and Exchange Commission on May 5, 2025 and the risks described in other filings that Strategy may make with the Securities and Exchange Commission. Any forward-looking statements contained in this press release speak only as of the date hereof, and Strategy specifically disclaims any obligation to update any forward-looking statement, whether as a result of new information, future events, or otherwise.
