MicroStrategy has completed a $1.01 billion bond offering, intended for the purchase of Bitcoin and general corporate purposes.
Bond Offering
MicroStrategy, one of the largest corporate Bitcoin (BTC) holders, announced on Friday, Sept. 20, that it has completed a $1.01 billion offering of 0.625% convertible senior notes due 2028. The notes were sold to institutional investors under Rule 144A of the Securities Act.
Plans for Use of Funds
The proceeds are intended to redeem the company's $500 million 6.125% senior secured notes due 2028, originally secured with 69,080 BTC. The remaining funds will be directed towards the purchase of additional Bitcoin and general corporate purposes. The company set an initial conversion price of approximately $183.19 per share, representing a 40% premium over its common stock price.
Commitment to Bitcoin Strategy
Founded by Michael Saylor, MicroStrategy continues to invest heavily in Bitcoin, despite market volatility. The company holds around 244,800 BTC as of September, worth over $15.4 billion. Recently, MicroStrategy purchased 18,300 BTC for $1.11 billion, underscoring its commitment to expanding its crypto holdings.
MicroStrategy demonstrates a strong commitment to its Bitcoin investment strategy, using additional funds for further cryptocurrency acquisitions and corporate purposes.
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