MicroStrategy Buys Another 12,000 BTC After Raising Over $800M From Convertible Notes


Business intelligence firm MicroStrategy has completed a $800 million fundraising effort to purchase additional Bitcoin (BTC).

The company also used some excess cash and acquired 12,000 BTC, with its total holdings now well above 200,000 BTC.

  • According to a press release, MicroStrategy raised the funds through a private offering of senior unsecured convertible notes bearing an interest rate of 0.625% per annum.
  • The announcement comes less than a week after MicroStrategy founder and executive chairman Michael Saylor revealed the firm was looking to raise $600 million through the convertible notes for the purpose of expanding its BTC reserves further.
  • The aggregate principal amount of the notes sold in the offering was $800 million, including a $100 million aggregate principal amount of notes issued pursuant to an option to purchase. 
  • After deducting the initial purchasers’ discounts, commissions, and estimated offering expenses, the net proceeds from the sale of the notes arrived at $782 million.
  • Minutes later, Saylor published the update indicating that the firm had acquired an additional 12,000 BTC for just shy of $822 million.
  • This brought the NASDAQ-listed intelligence giant’s overall stash to 205,000 BTC, bought at an average price of $33,706 per one. With Bitcoin’s current price tag of over $71,000, MicroStrategy’s BTC unrealized profit is around 2x.

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