Strategy to Raise $250M via Preferred Stock IPO to Bolster Bitcoin Holdings
In a bold move to expand its already massive Bitcoin portfolio, Strategy Inc. has unveiled plans to raise $250 million through the public offering of a new class of perpetual preferred stock.
According to a June 2 announcement , the company will issue 2.5 million shares of its 10% Series A Perpetual Stride Preferred Stock (STRD) at $100 per share. The offering, open to institutional and select non-institutional investors, aims to fund further Bitcoin acquisitions and provide additional working capital.
Strategy today announced the launch of $STRD (“Stride”), a new perpetual preferred stock offering, available to institutional investors and select non-institutional investors. For more information, click here. $MSTR https://t.co/GAWggiYwX9
— Strategy (@Strategy) June 2, 2025
Perpetual preferred stocks, like STRD, pay fixed dividends indefinitely and rank above common stock in the capital structure. However, dividends under this offering are non-cumulative and will only be disbursed if declared by the company’s board. If approved, shareholders can expect a 10% annual cash dividend, distributed quarterly starting September 30, 2025.
The STRD shares will also carry redemption and repurchase rights. Strategy may redeem all outstanding shares if fewer than 25% remain in circulation. Additionally, shareholders will have the right to force a buyback at $100 per share, plus any declared but unpaid dividends, in the event of a fundamental change in the company’s structure.
This marks a strategic pivot in how Strategy raises funds for its Bitcoin investment strategy. Historically, the company has relied on issuing common stock and convertible notes to purchase Bitcoin. With this new funding method, Strategy could acquire approximately 2,351 more Bitcoin based on current prices near $106,325.
The initiative aligns with the company’s aggressive Bitcoin-first approach , championed by Executive Chairman and co-founder Michael Saylor. Strategy currently holds 580,955 Bitcoin — valued at over $61.7 billion — more than double the combined holdings of all other publicly traded companies with Bitcoin on their balance sheets, according to data from BitcoinTreasuries.net.
The offering is being handled under a shelf registration with the U.S. Securities and Exchange Commission (SEC). Barclays, Morgan Stanley, Moelis & Company, and TD Securities will serve as lead underwriters, with support from The Benchmark Company, AmeriVet Securities, and other investment firms.
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