Strategy Upsizes $500 Million IPO To $2.5 Billion: Which Other Companies Are Buying Bitcoin?
Strategy (NASDAQ:MSTR) on Friday announced it has increased its initial public offering from $500 million to $2.521 billion to fund Bitcoin (CRYPTO: BTC) purchases.
What Happened: The offering, priced on July 24, involves 28,011,111 shares of Variable Rate Series A Perpetual Stretch Preferred Stock (STRC) at $90 per share, with net proceeds estimated at $2.474 billion after expenses.
The STRC stock, set to settle on July 29, carries a 9% initial annual dividend, payable monthly starting August 31.
Strategy plans to use the proceeds primarily for acquiring Bitcoin and for working capital.
The company, which holds 607,770 BTC valued at approximately $72.4 billion, is the world’s largest publicly traded Bitcoin treasury company.
Strategy’s move aligns with its aggressive Bitcoin accumulation strategy, pioneered by Executive Chairman Michael Saylor since 2020.
The firm’s stock has risen over 2,860% since adopting Bitcoin as its primary treasury asset, reflecting strong investor confidence despite concerns about valuation premiums.
Why It Matters: Other companies …
About The Author
