Strategy Upsizes STRD Preferred Stock Offering to $1 Billion to Buy More Bitcoin
Strategy has increased its offering of perpetual Stride preferred stock (STRD) to $1 billion from $250 million, with a public pricing set at $85 per share. The offering will yield a 10% non-cumulative dividend, generating approximately $979 million for the company to enhance its Bitcoin holdings. STRD is the third preferred stock introduced this year, following STRF and STRK, each with distinct features. Unlike STRF, STRD does not allow for missed dividend accrual, and unlike STRK, it cannot be converted into common shares. STRD is non-callable for life and has limited sensitivity to Bitcoin's price. Investors in STRD rank below STRF and STRK holders but above common shareholders. Strategy currently holds 580,995 Bitcoin, valued at $60.9 billion. The company's stock price rose to $377.80 in pre-market trading, later increasing to around $378.26, a 2.6% rise.
