Bitcoin

MicroStrategy has announced plans to increase its sale of convertible notes from $600 million to $700 million, aiming to capitalize on the current cryptocurrency bull market.&nbsp;
The notes, set for 2030, will have a modest interest rate of 0.625% per year and a conversion price of $1,497.68 per share. This conversion price is set at a 21% premium over its current share price of $1,234.48, as of the <a href="https://www.microstrategy.com/press/microstrategy-announces-pricing-of-offering-of-convertible-senior-notes_03-06-2024" rel="noopener noreferrer nofollow" target="_blank">announcement on</a> March 6.&nbsp;
<h2 class="wp-block-heading" id="details-and-terms-of-the-note-sale">Details and terms of the note sale&nbsp;</h2>
The sale is exclusive to accredited or institutional investors, thus highlighting MicroStrategy’s approach to engage sophisticated financial backers. Also, the terms include provisions for note holders to demand repurchase by MicroStrategy on specific dates or upon certain fundamental changes, guaranteeing a repurchase price of 100% of the principal amount plus any accrued interest.
Moving forward, MicroStrategy anticipates raising approximately $684.3 million from the note sale, which could increase to $782.0 million if all purchase options are exercised. The company plans to use <a href="https://www.cryptopolitan.com/microstrategy-600m-convertible-senior-notes/" rel="noopener noreferrer nofollow">the proceeds</a> to acquire more Bitcoin or cover corporate expenses. Presently, MicroStrategy holds about 193,000 BTC, bought at an average price of $31,544, amounting to a $12.9 billion value and representing a 112% return on investment. This strategic investment has contributed to a 429.2% return in the company’s stock, paralleling the broader Bitcoin market’s performance.
Michael Saylor, MicroStrategy’s chairman and co-founder, has been a vocal proponent of Bitcoin, integrating it into the company’s asset allocation strategy since August 2020. The company has continued to add Bitcoin to its treasury in subsequent quarters, affirming its commitment to the cryptocurrency as a core component of its financial strategy.

MicroStrategy boosts convertible note sale to $700M amid crypto boom

목차

Cryptopolitan_News

2024년 3월 6일에 게재된 다른 기사

SEC vs Binance takes new turn as regulator asks court to step in

Finance experts set Bitcoin price for end of 2024

Sberbank to Reach 60% AI-Powered Corporate Loan Decisions by Year-End

Ankr Enhances RPC Service, Expanding Opportunities for Bitcoin Developers

Binance resolves withdrawal glitch, ensures user fund safety

Ribbon Finance (RBN) Price Soars 60% As Binance Launchpool Welcomes AEVO

무료 뉴스레터에 가입하여 매일 최신 암호화폐 소식을 받아보세요!