Strategy Adds Nearly 25,000 Bitcoin in $2B Purchase

TLDR

• Strategy purchased 24,869 Bitcoin for more than $2 billion during the reported period.
• The company paid an average price of $80,985 per coin, including fees and expenses.
• Strategy increased its total Bitcoin holdings to 843,738 coins valued at about $65 billion.
• The company funded the acquisition entirely through proceeds from its at-the-market offering program.
• Strategy raised over $2 billion by selling preferred and Class A common shares between May 11 and May 17.
• The firm plans to repurchase $1.5 billion in convertible notes due in 2029 at an 8% discount.

Strategy purchased 24,869 Bitcoin for more than $2 billion, expanding its digital asset reserves. The company paid an average of $80,985 per coin, including fees and expenses. The acquisition lifts total holdings to 843,738 Bitcoin, valued near $65 billion at current prices.

Strategy Expands Bitcoin Holdings With Fresh Capital

Strategy confirmed the purchase in a filing with the SEC, detailing the transaction terms. The company executed the buy at an average price of $80,985 per Bitcoin. As a result, Strategy now holds 843,738 coins in total. Those holdings carry an estimated market value of about $65 billion.

The company funded the entire purchase through its at-the-market offering program. Between May 11 and May 17, Strategy raised $1.9 billion from selling 19.5 million preferred shares. It also secured about $84 million from selling 430,344 Class A common shares. These combined sales generated more than $2 billion in net proceeds.

Strategy Plans $1.38 Billion Debt Buyback Using Bitcoin Reserves

Strategy disclosed plans to repurchase $1.5 billion in convertible notes due in 2029. The company structured the agreement at an approximate 8% discount to par value. The deal totals about $1.38 billion and is expected to settle near May 19. After settlement, Strategy will retire the repurchased debt.

The filing states that Strategy may use Bitcoin reserves and other financing sources to fund the buyback. Executive Chairman Michael Saylor outlined the company’s capital management framework. He said, “Our long-term capital strategy centers on leveraging Bitcoin reserves to manage dividends and liabilities.” He added that Strategy will continue accumulating Bitcoin under this framework.

Saylor also explained the company’s breakeven rate for annual Bitcoin appreciation. He stated that Strategy requires about 2.3% annual price growth to sustain its approach. If Bitcoin appreciates faster than that rate, the company may sell portions of its holdings. It would then fund dividends and replenish reserves through further STRC-related capital raises.

The latest purchase strengthens Strategy’s position as the largest corporate Bitcoin holder. The company continues to rely on equity offerings to expand its reserves. Its recent SEC filings detail both the acquisition and the planned debt repurchase. The transaction and buyback settlement are scheduled to conclude around May 19.

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