MicroStrategy Incorporated, also known as Strategy (NASDAQ: MSTR; STRK), has announced a significant move to raise capital. The company has entered into a sales agreement for an at-the-market program which allows it to issue and sell shares of its 8.00% Series A Perpetual Strike Preferred Stock, with an aggregate offering price of up to $21.0 billion.
The proceeds from this program are intended for general corporate purposes, including the acquisition of Bitcoin and for working capital. The offering is being made pursuant to a prospectus supplement filed with the Securities and Exchange Commission on March 10, 2025, under an existing automatic shelf registration statement.
MicroStrategy, now rebranded as Strategy, is known for being the world’s first and largest Bitcoin treasury company. The company has strategically accumulated Bitcoin and advocates for its role as digital capital. It also provides industry-leading AI-powered enterprise analytics software, leveraging its development capabilities to explore innovation in Bitcoin applications.
This move demonstrates the company's commitment to its treasury strategy and its focus on technological innovation in both the digital asset and enterprise analytics sectors. The offering provides a unique opportunity for long-term value creation and positions Strategy as a leader in these sectors.
As of the time of this press release, the exact details of the sales and the impact on the company's financials are yet to be disclosed. However, it is clear that the company is taking significant steps to strengthen its position in the market and further its Bitcoin-focused strategy. As a result of these announcements, the company's shares have moved -18.8% on the market, and are now trading at a price of $233.25. For more information, read the company's full 8-K submission here.
