MicroStrategy Bolsters Bitcoin Holdings with $603.75M Convertible Note Offering
Summary:
MicroStrategy has bolstered its Bitcoin holdings with an additional $603.75 million raised through a 0.875% convertible senior note offering. The net proceeds will be used to acquire more Bitcoin. Ex-CEO Michael Saylor subsequently announced the procurement of an additional 9,245 BTC, bringing the firm's total Bitcoin holdings to 214,246 BTC, which represents 1.02% of the entire future Bitcoin supply.
MicroStrategy, a major publicly identified Bitcoin (BTC) investor, has successfully concluded another convertible note offering to boost its Bitcoin holdings. On March 18th, ex-CEO of MicroStrategy, Michael Saylor, revealed that the firm wrapped up its proposed offering of 0.875% convertible senior notes due in 2031. The firm raised $603.75 million in the sale, inclusive of a $78.75 million aggregate principal worth of notes tied to an optional buyout agreement. The notes were sold privately to eligible institutional buyers subject to compliance with United States securities laws. This transaction follows shortly after MicroStrategy's $800 million convertible note offering on March 8th, which enabled it to add 12,000 BTC to its Bitcoin reserve. Similar to the last offering, the proceeds from this one will be used to acquire more Bitcoin. Shortly after the announcement of this new $604 million offering, Saylor revealed the use of funds raised via convertible notes and spare cash to procure an additional 9,245 BTC. MicroStrategy's total Bitcoin holdings now stand at 214,246 BTC, equating to 1.02% of the total amount of Bitcoin to be mined globally. The company averaged a purchase price of $35,160 per BTC. This story will be updated when more information is available.
Published At
3/19/2024 3:31:53 PM
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