Strategy Ups ‘Strife’ Offering to $723 Million to Buy More Bitcoin

Strategy, previously known as micro strategy, increased its recently announced battle -long fertilizer supply to $ 723 million, after he initially priced at $ 500 million when it was announced on Tuesday.

Netynchronization Strife, the last range of the company pays a fixed rate of 10%, while a public offer price of $ 85 is per share, the company said in a press release.

The total offer translates into 8.5 million shares of the so -called “preferred battle -long stock of strategy.”

The company expects the sale of preferences to settle on 25 March. Of course, the Tysons Corner, the company established in Virginia, said that it is planning to use $ 711 million in the proceeds to buy more Bitcoin to set up its stock of 499,226 BTC, which is currently appreciated at around $ 41.4 billion.

Instead of converting the battle into ordinary shares, such as allowing different offers from the company, the product has been set to receive three -month dividends exclusively in cash.

Dividend payments would start in June. That means that the strategy would be in the hook to pay $ 71 million in about 100 days as $ 71 million.

However, based on Strife’s conditions, the company is also able to postpone dividend payments. If that happens, those dividends can be worsened per quarter to 18%, according to strategy.

The fixed rate of 10% is based on the indicated amount of the $ 100 shares, as shown in the first announcement of the company for Strife on Tuesday, the company added.

Strategy bought billions of dollars from Bitcoin last year by selling shares and convertible debts, which pays 0% interest. Analysts say that as the price of Bitcoin has fallen, it has become considerably more difficult for the company to attract capital as cheap to buy it actively.

The stock price of the strategy decreased on Friday, which a decrease of 2.5% showed to $ 295 not long after the opening bell, according to Nasdaq. The company’s share price has fallen by around 2% in the past month, but still changes hand for 84% more than a year ago.

Published by Stacy Elliott.