Strategy Inc. dramatically increased its latest preferred stock sale targeting bitcoin purchases to $2 billion from an initially planned $500 million, Bloomberg reported Thursday, citing a person familiar with the matter.
Strategy Boosts Bitcoin Fundraise to $2B via Preferred Stock: Report
WRITTEN BY
SHARE
The bitcoin-focused treasury firm, led by Michael Saylor, priced its Series A Perpetual Stretch preferred shares (STRC) in New York amid strong investor demand for cryptocurrency exposure, the unidentified source told Bloomberg. This marks Strategy’s fourth preferred offering dedicated to funding its bitcoin acquisition strategy. Proceeds are intended for general corporate purposes, including buying additional bitcoin ( BTC) and working capital. The variable-rate shares start with a 9% annual dividend, payable monthly and compounding if unpaid. Morgan Stanley, Barclays, Moelis & Company, and TD Securities are leading the offering. Strategy, holding 607,770 bitcoin as of the latest news, consistently uses equity and debt raises to accumulate bitcoin as its primary reserve asset.
