MicroStrategy Plans $1.75 Billion Convertible Notes Offering to Expand Bitcoin Holdings
MicroStrategy announced it is offering $1.75 billion in convertible notes to finance further acquisitions of Bitcoin and for general corporate purposes. The zero-interest notes will mature in 2029 and are aimed at qualified institutional buyers, potentially allowing the company to acquire up to 19,000 more Bitcoin. This follows a recent purchase of $4.6 billion worth of Bitcoin, increasing its total holdings to 331,200 BTC, valued at over $30 billion. The firm has averaged a cost of $49,874 per Bitcoin and now holds a significant share of the total Bitcoin supply. Notably, major Wall Street investors like Vanguard and Morgan Stanley have recently increased their stakes in MicroStrategy. The company's stock has experienced significant growth in correlation with Bitcoin, showing a 485% increase this year. Additionally, MicroStrategy revealed its '21/21' plan to continue purchasing Bitcoin, with a structure to attract institutional investors.
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