MicroStrategy (MSTR) has reached a milestone with its bitcoin holdings, now totaling 471,107 BTC following its latest purchase of 10,107 BTC in the week ending January 26. This marks the 12th consecutive week that the company has increased its bitcoin stash. The acquisition, made at an average price of $105,596 per bitcoin, pushed MicroStrategy’s overall average purchase price to $64,511.
In addition to the bitcoin purchase, the company, led by Executive Chairman Michael Saylor, also announced a preferred stock offering valued at approximately $250 million. The Series A Perpetual Preferred Stock (STRK) offering is designed to raise funds for further bitcoin acquisitions. Each share of STRK will have a $100 liquidation preference and is convertible into one-tenth of one share of Class A common stock at a conversion price of $1,000 per share. The preferred stock will also provide an 8% cumulative preferred dividend.
This news comes shortly after MicroStrategy shareholders approved an increase in the authorized number of Class A common shares from 330 million to 10.3 billion shares. Additionally, the company filed a mixed securities shelf registration, which now includes debt securities, preferred stock, warrants, depository shares, and Class A common stock.
The latest developments highlight MicroStrategy’s ongoing commitment to increasing its bitcoin holdings and its efforts to raise capital for further acquisitions.
