Strategy (MSTR) shares edged down 0.75% on Monday despite the company disclosing another Bitcoin purchase, adding 1,665 BTC for approximately $142.7 million. The acquisition, detailed in a Form 8-K filed with the SEC, took place between Sept. 21 and Sept. 27 at an average price of $85,681 per coin.
This latest buy brings Strategy's total Bitcoin holdings to 847,666 BTC, a position currently valued at around $70.6 billion, according to co-founder and executive chairman Michael Saylor. The company's average acquisition cost stands at $75,437 per Bitcoin, with total expenditures of roughly $64 billion including fees and expenses.
Strategy's hoard represents more than 4% of Bitcoin's 21 million supply cap. Based on current prices, the position implies paper gains of approximately $6.6 billion. The firm continues to use its capital markets programs to fund additional purchases while managing preferred-stock obligations.
Funding the purchase
The latest acquisition was partly financed through proceeds from sales of Class A common stock. Last week, Strategy sold 1,469,165 MSTR shares for about $246.2 million. As of Sept. 27, the company had $18.84 billion of MSTR shares available under its at-the-market program.
Of the proceeds, $103.5 million went toward the Bitcoin purchase, with the remaining $48.1 million drawn from the company's USD Cash reserve. During the same period, Strategy repurchased 1.53 million STRC preferred shares for approximately $151.7 million.
The company reported a USD Reserve balance of $5.02 billion and USD Cash of $1 billion as of Sept. 27. It also used $22.1 million from its USD Reserve to cover preferred-stock dividend payments.
Preferred dividend proposal
Strategy is seeking shareholder approval to shift four preferred securities—STRC, STRD, STRF, and STRK—to daily dividend payments. The proposal, announced Friday, would not alter dividend rates or increase total regular dividend obligations. A shareholder vote is scheduled for Oct. 28.
If approved, STRC would be the first to adopt daily dividends, with an initial record date of Nov. 1 and payment the following day. STRF, STRD, and STRK would follow in January.
The purchase follows Saylor's social media post with the caption “A little more orange,” a phrase he has used before announcing Bitcoin acquisitions. Strategy now holds 847,666 BTC at an aggregate acquisition cost of approximately $63.95 billion.
This article is for informational purposes only and does not constitute financial advice.
