Bitcoin: MicroStrategy to Raise $1.75B For BTC Purchase
Michael Saylor’s MicroStrategy has announced a new plan to raise $1.75 billion to buy more Bitcoin and further increase its BTC holdings. Earlier today, MicroStrategy purchased another $4.6 billion in Bitcoin, continuing the strategy that has served them well of late. In the past month, Bitcoin has surged to new all-time highs and is on the path to a $100k per coin value.
In a Monday press release, MicroStrategy announced that it intends to offer, subject to market conditions and other factors, $1.75 billion aggregate principal amount of its 0% convertible senior notes due 2029 in a private offering to persons reasonably believed to be qualified institutional buyers in reliance on Rule 144A under the Securities Act of 1933. MicroStrategy also expects to grant to the initial purchasers of the notes an option to purchase, within 3 days beginning on, and including, the date on which the notes are first issued, up to an additional $250 million aggregate principal amount of the notes.
The company will discuss the proposed convertible notes offering on a live Video Webinar tomorrow at 9:00 a.m.
MicroStrategy Continues Mass Bitcoin Accumulation
MicroStrategy’s Bitcoin strategy has paid off extremely well. Last week, the asset had reached a $93,000 all-time high after continued landmark price marks. That trend is expected to continue well into next year, especially following Donald Trump’s presidential inauguration.
Michael Saylor has not been shy in his ardent defense of Bitcoin, as seen by his company’s recent investments. He has heavily invested in both his personal and professional stash of Bitcoin, making sure his MicroStrategy follows suit. Thanks to those decisions, the company has reached a new high in valuation, with its stock also hitting all-time highs.
MicroStrategy’s total holdings of Bitcoin now sit at 331,200 BTC following its purchase on Monday. The stash is valued at a remarkable $16.5 billion. However, MicroStrategy’s Bitcoin is even more impressive when considering the average value the company paid for each token. According to Saylor, the company has averaged just $49,874 per Bitcoin purchase, meaning nearly 100% profit for each token.