Saylor’s MicroStrategy Secures $1 Billion in Notes Offering: More Bitcoin?

As a seasoned crypto investor with over a decade of experience under my belt, I must say that MicroStrategy’s recent move to raise $1 billion through convertible senior notes is a smart strategic play. With my fingers crossed for their continued success, I believe this move not only addresses existing obligations but also positions the company to acquire more Bitcoin, solidifying its commitment to the major cryptocurrency.


Yesterday, I learned that MicroStrategy successfully wrapped up its offering of 0.625% convertible senior notes, managing to rake in over $1 billion. This is quite exciting news for me as a crypto investor!

As an analyst, I’m excited to report a significant boost in our figures, with $135 million attributed to an exercise of an option by the initial buyers. This robust response underscores the high-level interest in the private market, as we successfully offloaded these notes to institutional investors who qualified for such transactions.

Significantly, MicroStrategy plans to utilize around $997.4 million from this offering, post-fee deductions, towards completely repaying the remaining $500 million of its 6.125% Senior Secured Notes maturing in 2028.

MicroStrategy Successfully Expands Its Offering of Convertible Bonds Worth $1.01 Billion, Carrying a Low Interest Rate of 0.625% and a High Conversion Premium of 40%. Ticker Symbol: $MSTR.

— Michael Saylor⚡️ (@saylor) September 20, 2024

This tactical decision not only fulfills current responsibilities but also allows the company to procure more Bitcoin, reinforcing its dedication to this significant digital currency. The remaining funds will be used for general business needs, however, the emphasis on Bitcoin acquisition underscores the company’s continuous plan to expand its cryptocurrency assets.

Securing these unsecured notes is a big move for MicroStrategy, with interest payments set to start on March 15, 2025. The notes will mature on Sept. 15, 2028, unless the company decides to redeem or convert them earlier. 

An intriguing aspect of these notes is that they become exchangeable for cash, starting from December 20, 2027, provided the share price of MSTR has risen to a minimum of 130% over the conversion price.

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2024-09-20 16:53