Key Highlights:
- MicroStrategy has increased its Bitcoin holdings for the ninth consecutive week.
- The latest Bitcoin purchase was funded through share sales under the company’s at-the-market (ATM) program.
- MicroStrategy announced plans to raise up to $2 billion via a preferred stock offering to acquire more Bitcoin.
MicroStrategy (MSTR) has increased its Bitcoin (BTC) holdings for the ninth consecutive week. As of January 5, the company purchased an additional 1,020 BTC for $101 million, raising its total holdings to 447,470 BTC.
Executive Chairman Michael Saylor teased the buying spree in a post on X, indicating the average purchase price was $94,004, which brings the average price of their holdings to $62,503.
On Friday, the company’s stock bounced back with a 13% gain after a near 50% drop from a high of $543 in late November, currently trading around $353, 2% higher in pre-market trading.
Additionally, MicroStrategy announced it plans to raise up to $2 billion through a preferred stock offering. This $2 billion initiative is distinct from their broader plan of raising $21 billion in equity and fixed income.
The preferred stock offering will take precedence over Class A common stock and may include features like conversion to Class A common stock, cash dividends, and redemption terms, with specifics yet to be disclosed. It is expected to occur in the first quarter of 2025, aimed at further Bitcoin acquisition.
