MicroStrategy plans to raise $500M through notes to buy more Bitcoin.

From Nasdaq: 2024-06-13 12:51:48

Shares of MicroStrategy (NASDAQ:MSTR) are down as the company plans to offer $500 million worth of unsecured notes due in 2032 to institutional buyers. The money raised will be used to buy more Bitcoin and for corporate needs. They also plan to redeem $650 million worth of notes due in 2025.

Noteholders can convert their notes into MicroStrategy’s stock at a rate of 2.5126 shares per $1,000 until July 11, 2024. It’s likely that many will convert, as the stock price is above $1,500. Analysts have a Strong Buy rating on MSTR stock, with an average price target of $1,793 per share.

Read more at Nasdaq: MicroStrategy (NASDAQ:MSTR) to Raise $500M to Buy More Bitcoin