A leading business intelligence firm and the world's largest corporate holder of Bitcoin has announced the offering of 5 million shares of its Series A Perpetual Strife Preferred Stock through a public filing. The firm's goal is to use the proceeds for general corporate purposes, including Bitcoin acquisitions.
Bitcoin Acquisition Focus
According to the official filing, the Series A Perpetual Strife Preferred Stock will offer a fixed annual dividend rate of 10% on the stated amount. These dividends will be paid quarterly starting June 30, 2025, provided the company's board declares them. If the company fails to pay the dividends on time, they will accumulate and compound quarterly, with the interest rate potentially increasing to 18% per year.
Conditions of Stock Offering
The company also reserves the right to redeem the preferred stock under certain conditions, such as if less than 25% of the original shares remain outstanding or if specific tax events occur. In the event of a 'fundamental change,' shareholders will have the option to require the firm to repurchase their shares at a cash price equal to the stock's stated amount plus any accumulated dividends. This offering is part of plans to expand Bitcoin holdings and strengthen the company's capital position.
Company's Latest Bitcoin Purchase
The latest announcement follows the purchase of 130 BTC for $10.7 million, marking the company's smallest acquisition since its initial investment in August 2020. Many believe the Bitcoin bull market has ended, with current market conditions remaining uncertain.
The firm aims to solidify its financial standing and continue investing in Bitcoin while offering investors stable dividend income and potential for growth in both traditional and cryptocurrency markets.
