Benzinga - MicroStrategy Inc (NASDAQ:MSTR) shares are trading lower in Monday’s after-hours session after the company announced an offering.
What Happened: After the market close on Monday, MicroStrategy said it intends to offer $600 million worth of convertible senior notes due 2030 in a private offering to qualified institutional buyers. The company plans to grant the initial purchasers a 13-day window to buy an additional $90 million worth of the notes.
MicroStrategy said it intends to use the net proceeds from the sale of the notes to acquire additional Bitcoin, as well as for general corporate purposes.
MicroStrategy is a business intelligence, mobile software, and cloud-based services company, but more than anything else, it’s a bet on Bitcoin. The company has acquired 193,000 Bitcoins since 2020 and continues to buy as cash becomes available. The firm most recently bought an additional 3,000 Bitcoin between Feb. 15 and Feb. 25.
Check This Out: MicroStrategy’s Michael Saylor Made $1.2 Billion In 3 Days Following Bitcoin Boom
MSTR Price Action: MicroStrategy shares closed Monday up 23.6%. The stock was down 4.42% after hours following the offering announcement, according to Benzinga Pro.
Photo: Miloslav Hamřík from Pixabay.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.