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Michael Saylor, Founder and CEO Accurate strategyHe posted a tweet to announce his company's intention to raise additional funds to purchase Bitcoin this year.
MSTR will raise $2 billion to expand Bitcoin holdings
Vocal Bitcoin evangelist, Saylor, shared a link to a press release stating that MicroStratety is targeting a new fundraising goal for the first quarter of this year in order to raise an additional $2 billion to raise another large batch of Bitcoin.
The document says that as part of its previously announced 21/21 plan to raise $21 billion through “fixed income instruments, including debt, convertible notes and preferred equity” over the next three years, MicroStrategy is now announcing its intention to raise one or More publicly underwritten offerings for perpetual preferred stock raising $2 billion. The press release confirms that this stock will be superior to the company's Class A common stock.
The perpetual stock will give its holders options to convert into MSTR Class A common stock, to receive payment of dividends in cash, as well as “provisions allowing for redemption of shares,” etc.
MicroStrategy plans to register the said offering by filing Form S-3 with the US Securities and Exchange Commission. The details of the offering have not yet been determined, such as the number of deposit shares, the final conditions of the offering, and the offering price, according to the document.
The press release emphasizes that MicroStrategy may elect not to proceed with or complete this offering at all.
Related to
Saylor bought $209 million worth of Bitcoin
As U.Today previously reported, on the last day of 2024, MicroStrategy broke the news about another massive Bitcoin purchase where it spent $209 million to acquire approximately 2,138 Bitcoins at an average price of $97,837 per 1 Bitcoin.
It was the company's eighth consecutive Bitcoin purchase recently. As of December 29, Saylor owns a staggering 446,400 bitcoins worth $27.9 billion. Furthermore, MSTR generated a 47.8% BTC return during the fourth quarter and 74.1% year-to-date, according to a tweet posted by Michael Saylor on December 31.
A week before that, the company announced another massive purchase of Bitcoin worth $509 billion. Recently, however, a major angel investor Jason Calacanis criticized these purchasesSaying that MicroStrategy's massive purchases of Bitcoin may reduce investor interest in Bitcoin.
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