Strategy Battles for Par on STRC, Lifting Dividend to 10.75%
CoinDesk
Strategy increased the dividend rate on its STRC preferred stock to 10.75% to encourage trading near its $100 par value.Summary
Strategy (MSTR) announced a fourth increase to the dividend rate of its STRC preferred stock, raising it by 25 basis points to 10.75% annually, distributed monthly. This adjustment is intended to encourage trading near STRC's $100 par value and limit price volatility, especially after the stock slipped below par following declines in bitcoin and Strategy's common stock price. Initially launched in July with a 9% rate, the dividend has been raised multiple times. The announcement coincided with news of a $1.44 billion cash buffer set aside to fund perpetual preferred dividends, which, alongside a $59 billion bitcoin reserve, provides substantial coverage for the total annualized dividend obligation of about $800 million.
(Source：CoinDesk)