2024

Bitcoin

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<a href="https://www.microstrategy.com/press/microstrategy-announces-pricing-of-offering-of-convertible-senior-notes_06-14-2024" rel="noopener noreferrer nofollow">MicroStrategy</a>, the business intelligence firm led by&nbsp;<a href="https://u.today/microstrategys-michael-saylor-makes-bitcoin-satoshi-statement-details" rel="noopener noreferrer nofollow">Michael Saylor</a>, has announced the pricing of its latest debt offering. Per a new press release, the company plans to raise $700 million through the issuance of convertible senior notes due in 2032, with the purpose for purchasing additional&nbsp;<a href="https://u.today/legendary-trader-peter-brandt-predicts-pain-and-pump-for-bitcoin-price" rel="noopener noreferrer nofollow">Bitcoin</a> and covering general corporate expenses.&nbsp;
This move follows a previous announcement aimed at raising $500 million, indicating what may be strong investor demand that has allowed MicroStrategy to upsize the offering.
The convertible notes will bear an interest rate of 2.25% per annum, payable semi-annually on June 15 and Dec. 15, starting Dec. 15, 2024. They will mature on June 15, 2032, unless repurchased, redeemed or converted earlier.&nbsp;
MicroStrategy retains the option to redeem the notes for cash after June 20, 2029, under specific conditions, provided the company’s class A common stock meets certain price thresholds.
<blockquote>
 MicroStrategy Announces Pricing of Offering of Convertible Senior Notes <a href="https://twitter.com/search?q=%24MSTR&amp;src=ctag&amp;ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">$MSTR</a> <a href="https://t.co/ejEbX1a7P9" rel="noopener noreferrer nofollow">https://t.co/ejEbX1a7P9</a>— Michael Saylor⚡️ (@saylor) <a href="https://twitter.com/saylor/status/1801586068006851029?ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">June 14, 2024</a>
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Investors will have the option to convert the notes into cash, shares of MicroStrategy’s class A common stock or a combination of both. The initial conversion rate is set at approximately 0.4894 MSTR shares per $1,000 principal amount of notes, translating to an initial conversion price of about $2,043.32 per share. This price represents a 35% premium over the company's recent stock price.
<a href="https://u.today/microstrategy-announces-big-new-debt-offering-to-increase-its-bitcoin-btc-bet" rel="noopener noreferrer nofollow">MicroStrategy</a> estimates net proceeds from the offering to be around $687.8 million, or up to $786 million if the initial purchasers exercise their option to buy additional notes. The sale will be conducted privately only to qualified institutional investors.

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