Strategy Announces Euro-Denominated STRE Preferred Stock to Expand Bitcoin Holdings
- Strategy launched its Euro-denominated STRE preferred stock to raise funds for Bitcoin purchases and corporate use.
- Each STRE share offers a 10% annual dividend with quarterly payments starting in December 2025.
- MSTR stock declined by over 26% in a month despite new Bitcoin acquisitions worth $45.6 million.
Strategy, formerly MicroStrategy, announced a new perpetual preferred stock offering under the ticker STRE. The firm plans to issue 3.5 million shares, marking the first-ever Euro-denominated preferred stock offering for global institutional and European investors.
Additionally, each share carries a stated value of 100 euros ($115) and a 10% annual cumulative dividend, payable quarterly beginning December 31, 2025.
The treasury company confirmed that proceeds from the STRE sale will be used to fund additional Bitcoin acquisitions and support general business operations.
The offering is restricted to qualified institutional investors within the European Union and the United Kingdom. Michael Saylor, the founder of the firm, stated that the shares will not be offered or sold to retail investors in those jurisdictions.
Use of Proceeds and Dividend Structure
Adding to this sentiment, Strategy highlighted that it intends to allocate the funds toward corporate purposes, including new Bitcoin purchases and working capital management. The company will pay a 10% annual dividend on the preferred shares, distributed quarterly in cash. If unpaid, dividends will compound at an annual rate of 10% plus 100 basis points.
Furthermore, Strategy intends to make reasonable efforts within 60 days to sell STRK, STRD, or MSTR Class A common shares to fund any deferred dividend payments. The offering is jointly managed.
MSTR Extends Losses Despite Expanding Bitcoin Holdings
Following this report, MSTR shares decreased by 1.80% on Monday and closed at $264.68 as the company faced market pressure due to the decline in Bitcoin’s price. The stock declined further, 2.60% to intraday lows of $259.85 in after-hours trading.
Earlier, Strategy made an additional purchase of 397 Bitcoin valued at $45.6 million, acquired at an average price of $114,771 per BTC. The acquisition increased its total Bitcoin holdings to 641,205 BTC, valued at $68.06 billion at the current market value. The firm reported spending $47.49 billion on Bitcoin to date, achieving a year-to-date yield of 26.1%.
This article was originally published as Strategy Announces Euro-Denominated STRE Preferred Stock to Expand Bitcoin Holdings on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.
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