MicroStrategy has announced a securities offering so it can raise $400 million to buy more Bitcoin (BTC).
The business intelligence firm is doubling-down on its initial Bitcoin investment, which would see the Nasdaq-listed firm have a total $875 million invested in Bitcoin.
CEO Michael Saylor tweeted the announcement, which was officially released on the MicroStrategy website. It said the firm plans to issue $400 million in convertible senior notes, which can be converted into the company’s shares. And the proceeds of which will go towards buying BTC.
‘MicroStrategy intends to invest the net proceeds from the sale of the notes in Bitcoin in accordance with its Treasury Reserve Policy,’ as per the announcement.
‘At current prices, the $400 million would increase the company’s holdings by 20,833, which would bring the firm’s total crypto stash to almost 62,000 BTC.’
The terms of the security offering dictates Microstrategy will pay note holders semi-annual interest until December 2025, and the firm also reserves the right to redeem the notes for cash from December 20, 2023. Read More