Strategy Raises $2 Billion From MSTR Share Sales, Creates New $1.59 Billion Cash Pool

Strategy ($MSTR) raised approximately $2.01 billion by selling more than 18.26 million common shares last week, using the proceeds to build cash reserves and repurchase preferred stock while making no new Bitcoin purchases, according to an Aug. 24 SEC filing.

• Strategy sold 18,261,118 MSTR shares from Aug. 17 through Aug. 23, generating $2.0065 billion in net proceeds.
• The company directed $300 million to its existing USD Reserve and $136.4 million to repurchase 1,431,212 shares of STRC preferred stock.
• The remaining roughly $1.57 billion was directed to a newly established “USD Cash” liquidity account. Strategy reported a $1.59 billion USD Cash balance and $5.10 billion USD Reserve as of Aug. 23.
• Unlike the USD Reserve, the new cash pool can fund Bitcoin purchases, MSTR or preferred-stock buybacks, debt repayment, dividends and other Bitcoin Treasury Company purposes.
• Strategy made no Bitcoin purchases or sales during the week, leaving holdings at 840,447 BTC acquired for $63.36 billion, or $75,385 per Bitcoin.
• The company retains $516.6 million of preferred-stock repurchase authorization and the full $1 billion authorization to repurchase MSTR shares.

Relevant Companies

• Strategy ($MSTR) — Raised $2.01 billion through common-stock issuance while expanding liquidity available for Bitcoin, debt and securities transactions.

Editor’s Note: This is a developing story. This article may be updated as more details become available.