MicroStrategy Raises $700 Million to Buy More Bitcoin

MicroStrategy has announced an upsized offering of $700 million in convertible senior notes, with the potential to reach $786 million if fully exercised. This follows an initial $500 million offering announced the previous day. The company plans to use the proceeds to purchase additional Bitcoin (BTC), further bolstering its already significant BTC holdings, which currently stand at 214,400 BTC, making it the largest holder outside of the BlackRock spot ETF. The notes will mature on June 15, 2032, carry a 2.25% interest rate, and are convertible at a rate of 0.4894 shares of MicroStrategy's class A common stock per $1,000 principal amount. This represents a 35% premium over the company's stock price on June 13th. The offering is expected to close on June 17th.