Raise money to continue adding to BTC! MicroStrategy announced the issuance of $2 billion in preferred stock

The software company MicroStrategy, which has transformed into "BTCLarge Investors", intends to further promote the "sell stocks to buy BTC" plan, announcing the issuance of $2 billion in preferred stock to raise funds for a $42 billion plan to purchase BTC over the next 3 years.

MicroStrategy stated in its statement on Friday that the fundraising will be conducted through one or more public underwritings of perpetual preferred stock issuance. The rights of such preferred stocks will be superior to Class A common stocks, and the fundraising ceiling is expected to be $2 billion.

This commercial software company, founded by former CEO Michael Saylor, began betting on BTC during the 2020 pandemic and has now become the publicly listed company with the most BTC, holding over 145,000 coins, valued at approximately $14 billion at current prices.

In order to continue to buy BTC, MicroStrategy has been actively raising funds through stock sales and debt issuance in the past few years. For example, in November last year, the company completed a $3 billion bond issuance specifically for purchasing BTC.

In October last year, MicroStrategy officially announced the implementation of the '21/21 Plan', hoping to raise $21 billion through the issuance of stocks and $21 billion through the issuance of fixed income securities, with a goal of raising $42 billion in the next three years to continue buying more BTC.

As of December 15th last year, MicroStrategy still had approximately 7.65 billion US dollars worth of stocks available for sale.

It is worth noting that the MicroStrategy stock price (MSTR) has performed well in 2024, with gains even surpassing BTC itself, and was officially included in the Nasdaq 100 index in December last year, attracting more investors' attention.

The preferred stock financing is expected to be launched in the first quarter of 2025, but the specific progress will depend on market conditions, and the company reserves the right to continue to promote it. The announcement stated that the preferred stocks issued in this issuance may have the option to convert to Class A common stocks and pay dividends. However, MicroStrategy has not yet announced the exact issuance price.

In addition, MicroStrategy continues to use the profits generated by its core business to purchase BTC, despite the company's failure to turn a profit in the most recent quarter.

<Raising money to continue adding BTC! MicroStrategy announced the issuance of 2 billion dollars of preferred stock> This article was first published in "Blocklike".