Ondo (ondo) 
MicroStrategy and its executive chairman Michael Saylor are continuing their Bitcoin buying spree with a new proposed offering of $500 million in convertible notes to acquire additional Bitcoin. The company announced this latest fundraiser on March 13, which will come in the form of a private senior convertible notes offering, with some proceeds potentially being used for general corporate purposes.
MicroStrategy, the largest corporate holder of Bitcoin, has recently made offerings totaling $1.3 billion over the last two weeks, including a recently completed $800 million senior convertible note offering. This raise, initially announced as a $600 million offering, was increased to $700 million, with an additional $100 million aggregate principal amount that can be exercised under specific terms.
The funds raised were used to add another 12,000 BTC to MicroStrategy’s Bitcoin treasury reserve, bringing their total stack to 205,000 BTC worth $15 billion. The firm has seen an increase of $8.1 billion or 117% on its investment.
MicroStrategy is now only 5,000 Bitcoin away from holding at least 1% of Bitcoin’s theoretical maximum supply. Based on current prices, the $500 million from the new offering could buy 6,850 Bitcoin.
The senior convertible notes from MicroStrategy will accrue interest semi-annually and mature on March 15, 2031. They can be converted into cash, shares of MicroStrategy’s class A common stock, or a combination of both.
MicroStrategy’s stock price continues to rise, reaching $1,766 on March 13. It has increased by 254% since February 6 and has been one of the top performers on the Nasdaq this year. This rise in stock price has been supported by Bitcoin’s recent rally, with the cryptocurrency increasing by 46.1% over the last month to $73,050.
The news of MicroStrategy’s latest offering comes amid concerns from industry experts like the Wolf Of All Streets about a potential future where Bitcoin reaches $1 million.
