Strategy, led by Michael Saylor, recently announced a new capital-raising initiative through the public issuance of 2.5 million shares of its Series A STRD perpetual preferred stock, carrying an annual cash dividend rate of 10%.
This issuance marks the company’s latest move to expand its Bitcoin holdings and strengthen its capital structure.
According to the company’s announcement, dividends on STRD preferred shares are non-cumulative and will be paid quarterly. The first dividend is expected to be distributed on September 30, 2025. If a dividend is not declared in any given quarter, it will not accrue, and the company will not be obligated to make up the missed payment.
Strategy stated that the proceeds from this offering will be used for general corporate purposes, including increasing its Bitcoin reserves and supplementing working capital. This move continues the company’s long-term strategy of positioning Bitcoin as a core strategic asset.
Additionally, the terms of the STRD preferred shares provide that the company reserves the right to redeem all outstanding shares if the number of shares in circulation falls below 25% of the original issuance or in the event of certain tax-related occurrences. The redemption price will be $100 per share, plus any declared but unpaid quarterly dividends.
In the case of a “fundamental change” event (such as a merger or significant asset divestiture), holders of the preferred shares will have a mandatory repurchase right, requiring the company to repurchase their shares at par value plus any accrued but unpaid dividends.
Coinciding with the new stock issuance, the company also announced updates on its Bitcoin holdings.
According to its latest filing with the U.S. Securities and Exchange Commission (SEC), Strategy purchased 705 Bitcoins between May 26 and June 1 at an average price of $106,495, for a total of approximately $75 million.
Funds for this purchase were primarily raised through the sale of other preferred share classes (STRK and STRF), which generated approximately $74.6 million.
With this latest acquisition, Strategy’s total Bitcoin holdings have reached 580,955 BTC, with an average purchase price of approximately $70,023. This solidifies its position as the largest corporate holder of Bitcoin globally.
Notably, the STRD issuance is part of a broader financing plan. The company aims to raise up to $21 billion over the coming years through an “at-the-market” (ATM) offering mechanism. This is part of its “21/21” strategic goal: raising $21 billion through equity and another $21 billion through debt instruments, for a total of $42 billion to support Bitcoin asset allocation and business expansion.
Strategy’s continued efforts reflect its strong commitment to deeply integrating crypto assets—especially Bitcoin—into its corporate capital structure. For investors seeking indirect exposure to Bitcoin through high-yield financial instruments, this preferred share offering may present an attractive opportunity.