Strategy raised its USD reserve by $300 million to $1.4 billion via a $335 million common stock issuance and purchased 520 BTC for $35 million. STRC preferred shares yield 11.5% but trade 17% below par, saddling the firm with $100 million in monthly costs.
Strategy raised its USD reserve by $300 million to $1.4 billion through a $335 million common stock issuance, bolstering its liquidity position for managing dividend obligations and debt commitments.
The firm acquired 520 BTC for $35 million in its smallest purchase since selling 32 BTC in May, taking its total holdings to 847,363 BTC, currently showing an unrealized loss of approximately $9 billion.
STRC preferred shares, which offer an 11.5% annual dividend, have slid to $82.53, trading 17% below their $100 par value and raising concerns over investor confidence in the product.
STRC’s scale generates about $100 million in monthly costs, driving Strategy to maintain high cash buffers. The firm plans to keep building reserves to uphold the credit quality of its digital credit securities.
