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CoinTelegraph
2025-03-21 15:53:49

Strategy announces 10% preferred stock offering to buy more Bitcoin

Strategy has announced the pricing of its latest round of perpetual preferred stock, which the company does before announcing more Bitcoin ( BTC ) acquisitions. According to Strategy , the latest round of preferred stock will be sold at $85 per share, with a 10% coupon, and will bring the company approximately $711 million in revenue. Market analyst Jesse Myers said that the annual 11.8% dividend distributed to investors from the latest offering suggests that Strategy can now siphon investors from the bond market, which only offers 4.2% interest. Strategy’s most recent BTC purchase occurred on March 17, when the company acquired 130 BTC, valued at roughly $10.7 million, bringing its total holdings to 499,226 BTC, valued at $41.8 billion. The March 17 acquisition was the company’s smallest purchase on record and followed a three-week break in buying. However, Strategy co-founder Michael Saylor has signaled that the company will raise more debt and sell more equity to fuel its accumulation of Bitcoin. Strategy’s Bitcoin purchases so far in 2025. Source: SaylorTracker Related: Michael Saylor pushes US gov’t to purchase up to 25% of Bitcoin supply Strategy seeks fresh capital for BTC buying spree On March 10, Strategy announced it would periodically sell shares of its 8% Series A perpetual strike preferred stock as part of its plan to raise an additional $21 billion to buy more Bitcoin. The company followed through on March 18 by announcing a tranche of 5 million shares in Series A perpetual preferred stock to raise additional capital. Data from SaylorTracker shows the company is still up approximately 26% all-time on its investment and is sitting on over $8.6 billion in unrealized gains despite the recent market downturn . However, shares of Strategy declined by over 26% in early March since their highest point in January 2025 and plummeted by over 44% since the all-time high of roughly $543 reached on Nov. 21. Strategy price action and analysis. Source: TradingView Shares of Strategy are currently trading at around $299, up by 29% from the recent low of $231 recorded on March 11. The company’s inclusion in the Nasdaq 100 , a weighted stock index that tracks the top 100 companies by market capitalization on the tech-focused stock exchange, injected fresh capital flows into the company but also exposed it to broader downturns in the tech market. Magazine: Coinbase and Base: Is crypto just becoming traditional finance 2.0?

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