Strategy Unveils First Euro-Denominated Perpetual Preferred Stock to Fund Bitcoin Growth

Core Viewpoint - Strategy (formerly MicroStrategy) is launching an initial public offering (IPO) for euro-denominated perpetual preferred stock (STRE) to raise capital primarily for acquiring Bitcoin and general corporate purposes [1][2]. Group 1: Offering Details - The proposed offering includes 3.5 million shares of Series A Perpetual Stream Preferred Stock (STRE) with a par value of €100 each, targeting qualified institutional investors [2]. - The STRE shares will have an annual dividend rate of 10%, paid quarterly starting December 31, 2025, with cumulative dividends that accrue if unpaid, potentially increasing to 18% per year [3]. - The offering is conducted under a shelf registration with joint book-running by several financial institutions, including Barclays and Morgan Stanley [3][4]. Group 2: Strategic Implications - The euro-denominated STRE represents a strategic shift for the company, expanding its financing efforts beyond US dollar-based instruments [4]. - The proceeds from the STRE offering will support the company's ongoing strategy to accumulate Bitcoin, reinforcing its status as the leading corporate holder of Bitcoin [5]. - Recently, the company acquired 397 BTC for approximately $45.6 million, with an average purchase price of about $114,771 per coin, indicating a strong commitment to increasing its cryptocurrency holdings [5].