Strategy Doubles STRC Buyback Limit to $2 Billion, Halts Bitcoin Purchases Again

Forecast Trend Report by Period

Strategy has doubled the buyback limit for its STRC preferred stock to $2 billion from $1 billion in an effort to lift the shares back to their $100 par value.

CryptoSlate reported on Sept. 8 that Strategy’s board expanded the cap on its preferred-share repurchase program, including STRC, to $2 billion. The move secures additional buying capacity after the company had already used more than 80% of the previous authorization.

STRC traded at about $97 to $98 on Sept. 8, roughly 2% below its $100 par value. Sept. 8 was the date Strategy Chairman Michael Saylor had cited for a recovery in STRC’s price, but the shares failed to regain $100.

Strategy has steadily increased the size of its purchases since July to support STRC. From Aug. 31 through Sept. 7, it bought 1.81 million STRC shares for $176.3 million, at an average price of about $97.36 each. Cumulative buybacks have reached about $811.5 million. With only about $188.5 million left under the previous $1 billion limit, the increase raises remaining buyback capacity to about $1.19 billion.