Software firm MicroStrategy doesn’t plan to back down from its strategy of hoarding Bitcoin anytime soon. In a recent filing with the U.S. Securities and Exchange Commission, the company said it plans to sell $750 million in stock and use the money to buy more Bitcoin.
MicroStrategy will issue and sell class A common stock shares, with each share being valued at $0.001. As part of the process, it entered into a sales agreement with Cowen and Company, Canaccord Genuity, and Berenberg Capital, with the three companies serving as sales agents.
“We intend to use the net proceeds from this offering for general corporate purposes, including the acquisition of Bitcoin and working capital, and, subject to market conditions, already issued bonds,” MicroStrategy said in the filing.
MicroStrategy made a $250 million investment in Bitcoin in August 2020, with the move being initiated by founder and CEO Michael J. Saylor. Since then, the company has continued to invest in Bitcoin on a regular basis, with Saylor even stepping down as CEO so he could focus on the cryptocurrency acquisition strategy.
In an earnings report shared earlier this week, MicroStrategy revealed that it currently owns 152,800 Bitcoins. This means that the company’s Bitcoin holdings are worth roughly $4.45 billion based on the token’s price of $29,139 on Wednesday.
