Strategy Boosts STRD Offering to $1 Billion, Signaling Crypto Market Confidence

MicroStrategy Upsizes Stride Perpetual Preferred Stock Offering to $1 Billion

MicroStrategy, the publicly-traded business intelligence and software company led by Michael Saylor, has announced a significant increase in the estimated net proceeds from its recent STRD offering. The company now expects to raise approximately $979.7 million, nearly four times the initially expected amount of $205 million.

The offering, which was priced at $85 per unit, consists of 11,764,700 shares of 10.00% Series A Perpetual Stride Preferred Stock (STRD). The shares will be issued on June 10, 2023. The company plans to use the proceeds from this offering for general corporate expenses, including the acquisition of Bitcoin.

Investors holding the STRD stock will be eligible to receive annual dividends at a 10% rate on the stated amount. If declared, these dividends will be paid quarterly, starting on September 30, 2025. Additionally, MicroStrategy retains the right to redeem the STRD stock if certain tax events occur.

This upsized offering further solidifies MicroStrategy's commitment to its Bitcoin acquisition strategy, as the company continues to expand its cryptocurrency holdings. The increased funding will provide the necessary resources to continue pursuing its goal of becoming a leading Bitcoin treasury asset management firm.