Bitcoin's dip to around $75,500 briefly pushed the price just below Strategy’s (MSTR) average purchase cost of roughly $76,037 per coin. That may sound alarming at first glance, and it technically puts Michael Saylor's firm underwater on its bitcoin holdings, but it doesn’t fundamentally change the company’s financial position. There is no balance sheet stress and no forced selling risk. What it does is slow down its future bitcoin buying. Strategy currently holds 712,647 bitcoin — all of it unencumbere ...

Strategy stated that even if Bitcoin drops to its average cost basis of $74,000, its BTC holdings would still cover its convertible debt by 5.9 times—a ratio the company refers to as its “BTC Rating.” Strategy also noted that at a BTC price of $25,000, the coverage would remain at 2.0 times. Recently, Strategy was once again excluded from the S&P 500 Index. https://t.co/OnGhhemIZU ...

⚡️ TODAY: Sequans shares dropped 16% after selling 970 Bitcoin to cut its convertible debt in half, describing it as “strategic asset reallocation.” https://t.co/F5XqP2Ta8h ...

Bitcoin Holdings - Sequans Communications 出售 970 比特币，用于偿还 9450 万美元可转换债券 [1] - Sequans Communications 的比特币储备减少至 2264 BTC [1] - Sequans Communications 成为首家显著减少比特币持有量的上市比特币储备公司 [1]

Core Viewpoint - AST SpaceMobile's shares declined by 13.5% following the announcement of a $1 billion private offering of convertible senior notes, which dilutes existing shareholders [1][3]. Group 1: Offering Details - The company announced a private offering of $1 billion in convertible senior notes due in 2036, increasing from an initial target of $850 million [3]. - The notes have an initial conversion price of $96.30, representing a premium of 22.5% to the previous closing price, which has now increased to nearly 40% [3]. - The interest rate on the notes is set at 2%, with an option for purchasers to buy an additional $150 million in notes [3]. Group 2: Financial Implications - AST expects to receive approximately $981.9 million in proceeds from the sale, which will be used for general corporate purposes, including satellite deployment [4]. - The company is currently valued at a market cap of $26 billion and anticipates generating meaningful revenue between $50 million to $75 million in the second half of the year [6]. Group 3: Market Reaction and Future Outlook - Investors are generally hesitant about capital raises for companies without profits, which is reflected in the stock's performance [5]. - Although the convertible debt will not immediately dilute investors, further capital raises are likely needed in the future as the company is years away from profitability [6][7].

Core Viewpoint - Energy Fuels has successfully raised $700 million in convertible debt, which has led to a recovery in its stock price after initial fears of share dilution [3][6][9]. Group 1: Financial Details - Energy Fuels issued $700 million worth of convertible notes to private investors, which can dilute existing shareholders if converted into shares [3][4]. - The debt carries a low interest rate of 0.75% and is due in November 2031, indicating favorable terms for the company [4]. - The company has over $645 million in cash available for operations, allowing it to sustain its business for nearly six years despite annual losses of approximately $115 million [6][7]. Group 2: Market Reaction - Initially, the stock price fell due to concerns over potential dilution, but it rebounded by 2.3% on Monday and surged an additional 7.8% by Tuesday morning [1][6]. - Investors have shifted their focus from dilution fears to the positive implications of having substantial cash reserves for growth in uranium and rare earth metal mining [6][9]. Group 3: Future Outlook - The cash raised positions Energy Fuels to capitalize on expected growth in the U.S. nuclear industry, which may provide sufficient time for the company to stabilize and grow [7].

A niche hedge fund strategy involving convertible debt is having a moment, with market forces aligning to create ideal conditions for trading the hybrid securities https://t.co/cODjOqip9s ...