Strategy announced the launch of a new $2.1 billion Class A preferred stock offering, primarily to fund additional investments in bitcoin.
The issue of preferred shares with an annual rate of 10% will be carried out within the framework of the sale agreement that the company entered into with counterparties TD Securities , Barclays Capital and The Benchmark Company , Strategy clarified.
Strategy plans to pay dividends on its shares quarterly, exclusively in cash. In addition to purchasing bitcoins, the company intends to use the funds received for general corporate purposes, including replenishing working capital.
This is the second round of Strategy’s perpetual preferred shares. Previously, the company sold both them and common shares, and then spent the money, including on replenishing its stock of the first cryptocurrency.
Strategy and other companies that have adopted a similar model for accumulating bitcoin (Metaplanet, Semler Scientific, Twenty One) have become catalysts for the corporate race to acquire the first cryptocurrency. According to brokerage firm Bernstein, they can accumulate $330 billion worth of bitcoin over the next five years.
Earlier, experts from Standard Chartered bank stated that states are investing in the first cryptocurrency through shares of the largest public holder of bitcoins – the Strategy company.
