MicroStrategy said it has completed an offering of 0% interest convertible senior notes due in 2029, raising $3 billion, which will be used to purchase more Bitcoin.
The offering includes an initial amount of $2.6 billion, plus an additional $400 million issued under an option exercised by first-time buyers. The purchase was finalized on Thursday.
“The $MSTR company has completed the issuance of $3 billion of convertible bonds with a 0% coupon and a 55% premium, with an implied strike price of $672,” – Michael Saylor wrote on the X platform.
MicroStrategy said earlier this week that it would increase its recently announced $1.75 billion convertible bond sale to $2.6 billion to boost its already substantial Bitcoin holdings.
The software maker said it will offer zero-interest convertible bonds to interested buyers under Rule 144A of the Securities Act of 1933, as well as to non-U.S. buyers purchasing under Regulation S of the Securities Act.
Citron Research discloses a short position in MSTR
Citron Research announced on Thursday that it had taken a short position in X. The announcement caused Microstrategy’s shares to fall more than 16%.
Citron Research said: “Now that it’s easier than ever to invest in Bitcoin (ETFs, $COIN, $HOOD), $MSTR volume has completely detached itself from BTC fundamentals. While Citron remains optimistic about Bitcoin, we have hedged with a short $MSTR position.”
