Strategy seeks shareholder approval for daily preferred stock dividends

Strategy is seeking shareholder approval to move its four preferred stocks, including STRC, to daily dividend payments without changing their dividend rates or the total amount paid.

The company’s board approved the proposal on Thursday, according to a Friday filing with the US Securities and Exchange Commission. Shareholders are scheduled to vote on the amendments at a virtual special meeting on Oct. 28.

If approved, each calendar day would become a dividend record date, with the corresponding payment made on the next business day. STRC would move to the new schedule first, with its initial daily dividend payment expected on Nov. 2.

STRF, STRK and STRD would follow in January, with their first payments under the daily schedule expected on Jan. 4. The amendments would take effect after Strategy files updated certificates governing the preferred stocks with the state of Delaware.

Related: Strategy buys 950 Bitcoin for $76M, repurchases $174M in STRC

Strategy follows Strive into daily dividends

Strategy’s proposal comes several months after fellow Bitcoin treasury company Strive moved its SATA preferred stock to daily dividend payments, becoming the first public company to adopt the model.