MicroStrategy Continues Bitcoin Acquisition Streak

In an impressive streak, MicroStrategy continues to ramp up its cryptocurrency investments! For the ninth week in a row, the analytics software company has bolstered its bitcoin (BTC) reserves, recently acquiring an additional 1,020 BTC for a staggering $101 million. This latest move brings MicroStrategy’s total bitcoin holdings to a jaw-dropping 447,470 BTC — making it the largest holder of bitcoin among publicly traded companies worldwide!

Details of the Recent Purchase

This remarkable purchase was teased by Executive Chairman Michael Saylor on social media platform X, a customary practice that has kept investors eagerly engaged. Following this acquisition, the average purchase price of MicroStrategy's bitcoin rose to $94,004, edging the company’s average cost per bitcoin to approximately $62,503.

Stock Market Performance

In a related stock market event, MicroStrategy witnessed a bounce-back, with its share price soaring by 13% after a tumultuous decline of nearly 50% since its peak of $543 on November 21. As of recent pre-market trading, the stock has stabilized around $353, marking a 2% increase.

Financial Plans Ahead

But that's not all — there's big news on the financial front as well! MicroStrategy announced plans to raise up to $2 billion through a preferred stock offering. This funding initiative is distinct from its ambitious 21/21 plan, which aims for an impressive $21 billion in equity along with another $21 billion in fixed income.

New Preferred Stock Offering

The newly proposed preferred stock would have advantageous terms, including convertibility to Class A common stock, cash dividends, and options for redeeming shares. However, details regarding the perpetual preferred stock pricing are still under wraps, with the offering expected to be finalized in the first quarter of 2025. The primary objective of this offering is clear: MicroStrategy intends to leverage these funds to enhance its bitcoin holdings further.

Investor Watch

As the cryptocurrency market continues to evolve, the eyes of investors and analysts alike remain keenly focused on MicroStrategy's strategic moves — will the company continue to lead the charge in corporate bitcoin investments? Stay tuned!