coinspress.com
MicroStrategy, a leading business intelligence company and one of the largest institutional Bitcoin investors, has announced plans to raise $1.75 billion through a new offering of convertible senior notes due in 2029.
The notes will be offered primarily to institutional investors and non-U.S. buyers, with the potential for an additional $250 million in notes to be purchased. The funds raised will be used for acquiring more Bitcoin, as well as for general business purposes.
The notes will be zero-coupon, meaning they will not accrue regular interest or have any periodic payouts. These securities are set to mature on December 1, 2029, unless they are repurchased, converted, or redeemed earlier.
Beginning in December 2026, MicroStrategy can choose to redeem the notes in whole or in part, as long as at least $75 million of the notes remains outstanding. Investors will have the option to convert their notes into cash, shares of MicroStrategy’s Class A common stock, or a mix of both, depending on the company’s decision.
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The terms for converting the notes into equity will be based on the price of MicroStrategy’s stock during the offering’s pricing period.
This latest move demonstrates MicroStrategy’s ongoing commitment to expanding its Bitcoin holdings through strategic financial maneuvers, including leveraging debt.
In a separate update, the company also revealed that it recently acquired 51,780 BTC, worth $4.61 billion, bringing its total Bitcoin holdings to 331,200 BTC.