MicroStrategy to issue an additional 5,000,000 shares of its Series A Perpetual Strife Preferred Stock

A filing by the asset management company Strategy (formerly MicroStrategy) with the U.S. SEC on March 18 revealed that the firm planned to issue an additional 5,000,000 shares of its 10.00% Series A Perpetual Strife Preferred Stock. 

The firm also confirmed that the stock would be available at $100 per share and a preferred initial liquidation of $100 per share. Strategy mentioned that the raised amount from the distribution of the shares would go toward general company expenditure, including the purchase of more BTC and for working capital. 

The perpetual strife preferred stock will accrue dividends yearly at a rate of 10.00% on the stock’s price. Strategy stated that the company would pay regular dividends out of the funds legally available for dividend payments. The payout will be quarterly and solely payable in cash as per the directions of the Strategy Board of Directors on March 31, June 30, September 30, and December 31. The company also revealed that any dividends not paid out during the designated time would be compounded quarterly. 

Strategy further indicated that Morgan Stanley & Co. LLC, Moelis and Co. LLC., Citigroup Global Markets Inc., and Barclays Capital Inc. would be joint book-running managers for the stocks’ distribution. The company still noted that the U.S. SEC had not confirmed the adequacy of the perpetual strife preferred stocks, adding that the shares would not be available in public. Strategy is still working toward a public listing of the stock on the Nasdaq Global Select Market under the ‘STRF’ symbol. 

Strategy purchases 130 BTC worth $10.7 million

🚨BREAKING: MicroStrategy has acquired 130 #BTC for ~$10.7 million at an average price of $82,981 and now holds 499,226 #bitcoin acquired for ~$33.1 billion with ag price of $66,360!

Don't let Bankers still your precious #bitcoin, Send $BTC to over $100K right now🚀🚀🚀 pic.twitter.com/Kp34QBUoSw

— WSB Trader Rocko 🚀🚀🚀 (@traderrocko) March 17, 2025

Strategy bought the lowest amount of Bitcoin since April last year during the March 10 to 16 week, acquiring 130 BTC at an average price of $82,981 and cumulatively worth about $10.7 million. The purchase followed previous BTC purchases in February, which totaled about $2 billion, bringing the firm’s total BTC holdings to above 499,000 BTC. The latest purchase has brought Strategy’s holdings to 499,226 BTC worth over $33 billion at an average price of approximately $66,360. 

BTC’s price has maintained its position below $85,000 over the past seven days and is trading at around $81,691 at the time of writing. The current price has been down over 1.6% in the past 24 hours but has been up over 2% in the last seven days. BTC’s price being lower and the small Strategy Bitcoin purchases raising speculations about the firm’s strategy toward the coin’s purchase. One speculation was that the firm was waiting for more funds from its stock sales to purchase larger amounts. 

The coin’s price has so far remained over 24% below the all-time high recorded in January and could drop below $80,000 or surge above its current level. One of the key events crypto traders are watching out for in the coming days is the Federal Open Market Committee meeting between March 18 and 19. While some speculate that the Fed might cut rates during the meeting, 99% still expect that interest rates will remain between 4.25% and 4.50%. 

The firm plans to raise $21 billion for more BTC purchases

A March 10 Strategy press release revealed that the asset management company planned to raise $21 billion in funds from its 8.00% Series A perpetual strike preferred stock despite its pause in the coin’s acquisitions since February. The firm explained that the funds raised from the stocks would go toward general company expenditures, including BTC purchases and working capital. Strategy still did not announce any plans to sell the stocks, adding that any solicitation to buy the stocks would be unlawful. 

The announcement came after the company rebranded from MicroStrategy to Strategy at the beginning of February, adding a Bitcoin symbol to its logo. Strategy’s CEO Phong Le mentioned that the company was delving in two of the most transformative technologies: Bitcoin and AI. Le explained that the company’s rebranding showed the current investor appeal in Strategy and the value its innovations brought to investors. 

The rebranding came after the company suffered significant losses of over $670 million in the last quarter of 2024. The company’s stock has also suffered losses as Bitcoin-tied stocks fell during the crypto market slump. The MSTR stock fell over 10% on March 10 and is down over 3% today.

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