Fintech
MicroStrategy Increases Note Supply to $700 Million to Buy More Bitcoin – DL News
- MicroStrategy is already the largest institutional holder of Bitcoin.
- The company holds approximately $13.5 billion in cryptocurrency.
- It is now trying to raise around $700 million to add to its offering.
After announcing it offer of $500 million in senior unsecured convertible notes to buy more Bitcoin, MicroStrategy increased a day later at $700 million.
MicroStrategy, co-founded and led by Michael Saylor, is already the largest institutional holder of Bitcoin and is not looking to give up its position. He holds more than $13 billion in Bitcoin, depending on market fluctuations.
The publicly traded company says it sees itself as the world’s first Bitcoin development company, committed to the continued growth of the Bitcoin network through its activities in financial markets, defense and technological innovation.
MicroStrategy could now raise up to $786 million if initial buyers fully exercise their options to purchase additional securities.
The Notes will mature on June 15, 2032, unless earlier repurchased, redeemed or converted in accordance with their terms. Interest accrues on them at a rate of 2.25% per annum, payable semi-annually.
They are offered and sold to persons reasonably believed to be qualified institutional buyers.
MicroStrategy saw a 146% jump in its stock value in the first quarter, led by a rally in Bitcoin, DL News reported.