Strategy (MSTR) Tuesday morning revealed its latest VRI to raise money from capital markets to finance additional Bitcoin (BTC) purchases, but there are indications that the Wall Street stairs are slower.
The company’s Perpetual Strife Preferred Stock (STOF) offers a fixed 10% annual cash yield, paid quarterly, according to a SEC archiving whose dividend is unpaid, they are put together at an additional 1% per year (quarterly), up to a maximum of 18%. The first dividend is scheduled for June 30, 2025.
The strategy’s original preferred series (STRK) initially offered only an 8% interest rate. And the strategy’s series of convertible debt offers came with insignificant or even 0% interest (different product than preferred, of course).
Unlike common shares, STRF holders do not have voting rights, but have priority in liquidation with a $ 100 per year. Aktie -Liquidation Preference. Strategy has the right to redeem STRF if there are fewer than 25% of the original shares left or if tax events occur, while holders may require a repurchase in the event of a fundamental change.
StrF is expected to trade against Nasdaq within 30 days of issue and offers investors Bitcoin exposure with a high-interest structure. Morgan Stanley, Barclays, Citigroup and Moelis & Company are jointly booked leaders for the offer, which was performed during a SEC shelf registration.
After purchasing Bitcoin at a galloping pace over the past several months, the strategy’s collection and token acquisition has decreased to a requirement for review in recent weeks. Last week, the company made additional Bitcoin purchases, but they were hardly a needle moving-only 130 BTC for $ 10.7 million to bring total holdings to 499,226 tokens.
Mstr is lower by 5% in the early action on Tuesday along with a slide in markets in general and Bitcoin’s dip for $ 81,300 from $ 84,000 a day ago.
