Strategy Inc. Boosts USD Reserve, Repurchases Preferred Securities

Strategy Inc., formerly known as Microstrategy, reported a 2% increase in its shares on Monday following the sale of Bitcoin and common stock. The company sold approximately 1,638 Bitcoin for $104.7 million at an average price of $63,957 per token.

Alongside the Bitcoin sale, Strategy also sold over 3 million common shares, raising about $290.6 million. Proceeds were used to increase its USD Reserve by $250 million to a total of $4 billion, repurchase preferred securities, and strengthen liquidity.

In a post on X, Executive Chairman Michael Saylor said the company increased its USD Duration by 57 days to 2.3 years and tightened STRC's BTC Credit by 5 bps. Strategy now holds approximately 843,138 Bitcoin, valued at $52.6 billion, acquired at an average purchase price of $75,419 per Bitcoin.

Strategy's capital restructuring comes after reporting an $8.2 billion net loss for the second quarter, largely driven by unrealized losses on its Bitcoin holdings. Analysts continue to maintain a bullish outlook on the stock, with Barclays analyst Nik Cremo maintaining a Buy rating and price target of $125.