Strategy disclosed in an 8-K filing with the U.S. Securities and Exchange Commission that it purchased 24,869 BTC between May 11 and May 17 for about $2.01 billion, paying an average of $80,985 per bitcoin. The latest purchase pushed the company’s total bitcoin holdings to 843,738 BTC.
Bitcoin position now exceeds 4% of total supply
Executive Chairman and co-founder Michael Saylor said Strategy’s bitcoin stack is worth about $65.3 billion. Since starting its bitcoin acquisition program in 2020, the company has spent about $63.9 billion in total, with an average purchase price of $75,700 per BTC. Based on the figures disclosed, the holding carries an unrealized gain of roughly $1.4 billion. Its position now accounts for more than 4% of Bitcoin’s 21 million maximum supply.
Most of the funding came from equity sales
Strategy said the latest bitcoin purchase was funded mainly through sales of common stock MSTR and perpetual preferred stock STRC. Over the past week, the company sold more than 430,000 shares of MSTR, raising about $83.7 million. As of May 17, it still had about $26.27 billion of MSTR available for issuance and sale. It also sold 19.51 million shares of STRC, generating about $1.95 billion, while another $17.51 billion of STRC remained available for issuance and sale.
“42/42” financing plan remains in place
The company said its four perpetual preferred stock programs — STRK, STRC, STRF and STRD — have issuance sizes of $21 billion, $4.2 billion, $2.1 billion and $4.2 billion, respectively. These offerings form part of Strategy’s “42/42” capital plan, which targets $84 billion in funding by 2027 through stock issuance and convertible debt, with the proceeds earmarked for additional bitcoin purchases.
Earlier, Strategy announced plans to spend $1.38 billion to repurchase $1.5 billion in zero-coupon convertible notes due in 2029, effectively retiring that debt at about 92 cents on the dollar. The company also listed bitcoin sales as a possible source of financing. Saylor previously said that even if Strategy sells some BTC in the future to pay dividends on STRC, the amount purchased would remain far above the amount sold. In his words, for every 1 BTC sold, Strategy would buy back 10 to 20 BTC.