Strategy (NASDAQ: MSTR), formerly known as MicroStrategy, has launched an offering for $2.0 billion in senior notes this morning that will be used to acquire further bitcoin.
The offering follows a week of the company failing to acquire any further cryptocurrency for the second time in 14 weeks.
The offering is to consist of $2.0 billion in aggregate principal of 0% convertible senior notes that will be due in 2030. The notes have been offering in a private offering to “persons reasonably believed to be qualified institutional buyers.” An option has also been provided for the potential sale of up to $300 million in additional notes.
The notes are redeemable for cash at Strategy’s option any time on or after March 5, 2027, provided the last reported sale price per share of Strategy’s Class A common stock exceeds 130% of the conversion price.
A conversion price for the notes has not yet been determined.
Strategy currently holds 478,740 bitcoin, which was acquired for an average price of $65,033 per bitcoin.
Information for this briefing was found via Sedar and the sources mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
