MicroStrategy Swaps Stocks for Bitcoin in $147.3M Deal
MicroStrategy's Michael Saylor recently disclosed that the company has substantially acquired 5,445 Bitcoin (BTC) with an average purchase price of $27,053.
Per an 8-K filing, MicroStrategy executed this acquisition between August 1 and September 24, deploying a total investment of $147.3 million to secure Bitcoin at an average cost of $27,053 per unit.
Notably, to finance these Bitcoin purchases, MicroStrategy divested 403,362 class A common stocks, generating proceeds of $147.3 million. In early August, reports emerged of the company’s plans to sell up to $750 million worth of class A common stocks. The official filing elaborated on this development:
On August 1, MicroStrategy entered into a Sales Agreement with Cowen and Company, LLC, Canaccord Genuity LLC, and Berenberg Capital Markets LLC, all acting as sales agents. This agreement permits MicroStrategy to issue and sell shares of its class A common stock, each with a par value of $0.001 per share, with a cumulative offering price of up to $750.0 million, periodically through these agents.
READ MORE: How Will Bitcoin Respond to Another 2023 Rate Hike by the Fed?
Following this recent investment in Bitcoin, MicroStrategy now holds a total of 158,245 BTC. Over a span of three years, the company has invested approximately $4.68 billion in acquiring Bitcoin, with an average acquisition price of $29,582 per BTC.
MicroStrategy remains committed to its Dollar Cost Averaging (DCA) investment strategies in cryptocurrency.
With the Bitcoin halving event on the horizon, occurring in less than a year, the crypto community eagerly anticipates the potential initiation of a new bullish trend. Many within the community foresee Michael Saylor as a visionary figure to watch closely over the next 12 months.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
