IPO of 2.5 Million STRD Preferred Shares
On July 2, 2026, Strategy (Nasdaq: MSTR; STRK; STRF) announced plans to conduct an initial public offering of 2,500,000 shares of its 10.00% Series A Perpetual Stride Preferred Stock (STRD). The company stated that net proceeds from the offering will be used for general corporate purposes, including the acquisition of bitcoin and working capital.
Dividend and Redemption Terms
The STRD shares will pay non-cumulative cash dividends at an annual rate of 10%, paid quarterly on March 31, June 30, September 30, and December 31, beginning September 30, 2025. If dividends are not declared, they will not accumulate, and Strategy is not obligated to make up missed payments. Strategy may redeem all outstanding STRD shares if total shares fall below 25% of original issuance or upon certain tax events, at a liquidation preference of $100 per share plus any declared and unpaid dividends. Holders have the right to require repurchase at stated amount plus accrued dividends upon a 'fundamental change.'
Acquisition of 705 More Bitcoin
On the same day, Strategy (MSTR) acquired another 705 bitcoin for approximately $75 million, further solidifying its position as the largest corporate holder of bitcoin. According to SEC filings on June 2, the company purchased bitcoin at an average price of $106,495 each between May 26 and June 1, increasing total holdings to 580,955 BTC.
Funding and Cost Basis
The purchase was funded through an at-the-market equity offering of preferred shares. Strategy raised $74.6 million by selling a combination of its preferred stock classes: 353,511 shares of STRK preferred stock for $36.2 million and 374,968 shares of STRF preferred stock for $38.4 million. With this purchase, Strategy’s average acquisition price across all bitcoin holdings stands at $70,023 per coin.