Strategy Unveils First Euro-Denominated Perpetual Preferred Stock to Fund Bitcoin Growth
Strategy announced its first euro-denominated perpetual preferred stock (STRE) offering to fund general corporate purposes, including acquiring more Bitcoin.Summary
Strategy (formerly MicroStrategy) has announced the proposed initial public offering of its first-ever euro-denominated perpetual preferred stock, designated as STRE. The company intends to use the net proceeds from the offering, which involves issuing 3.5 million shares at a par value of €100 each to qualified institutional investors, for general corporate purposes, specifically including the acquisition of Bitcoin (BTC).
The STRE shares will carry a 10% annual dividend, paid quarterly, with cumulative dividends accruing interest up to 18% per year if unpaid. The offering includes provisions for redemption rights and repurchase rights if a "fundamental change" occurs. This move marks a strategic shift by broadening capital markets efforts beyond US dollar financing.
This capital raise supports Strategy's ongoing Bitcoin accumulation, reinforcing its position as a top corporate holder. The announcement follows a recent purchase of 397 BTC for $45.6 million. As of the latest data, Strategy holds 641,205 BTC, valued at $68.52 billion, supported by strong financial performance, including $2.8 billion in net income in the third quarter.
(Source：BeInCrypto)