MicroStrategy Plans to Raise Another $400M to Buy More Bitcoin
Although MicroStrategy has already allocated more than $2 billion in the primary cryptocurrency, the business intelligence giant has no plans to stop buying. The firm announced plans to offer $400 million worth of senior secured notes due 2028 and to allocate the raised funds in BTC again.
- Ever since its initial purchase worth hundreds of millions of dollars in August 2020, the NASDAQ-listed software giant has only doubled down on its BTC involvement.
- The latest endeavor came earlier today, as the firm’s CEO, Michael Saylor, announced on Twitter.
— Michael Saylor (@michael_saylor) June 7, 2021
- The statement reads that the company “intends to offer, subject to market conditions and other factors, $400 million aggregate principal amount of senior secured notes due 2028 in a private offering to qualified institutional buyers.”
- The notes will be “fully and unconditionally guaranteed on a senior secured basis, jointly and severally, by MicroStrategy Services Corporation.”
- Furthermore, the company plans to use the net proceeds from the sale to “acquire additional bitcoins.”
- It’s worth noting that this would not be the first similar initiative the company has taken to allocate funds in the primary cryptocurrency. Earlier this year, the firm raised $1 billion and bought BTC with it.
- After the latest purchase completed in mid-May, MicroStrategy owns 92,079 bitcoins acquired for $2.250 billion at an average price of $24,450 per bitcoin.