$1 billion raised by MicroStrategy through a recent corporate bond sale. About $500 million was spent on bonds, the remainder was used to buy Bitcoin.
MicroStrategy Raises $1 Billion, Buys $458.2 Million More in Bitcoin
In the latest announcement on the evening of September 20, 2024, billionaire Michael Saylor, owner of software company MicroStrategy, said he had completed the issuance of $1.01 billion in convertible corporate bonds with an interest rate of 0.625%/year due in 2028. This means that the amount of money that MicroStrategy collected is more than the expected $700 million plan announced 3 days ago.
Net proceeds from the bond issuance were approximately $997.4 million, after discounts and related expenses. MicroStrategy used the proceeds to redeem all $500 million of its 6.125% notes due 2028, and used the remainder to purchase additional Bitcoin and other purposes.
MicroStrategy Completes $1.01 Billion Upsized Offering of Convertible Notes at 0.625% Coupon and 40% Conversion Premium. $MSTR https://t.co/mJK5xwyn4S
— Michael Saylor⚡️ (@saylor) September 20, 2024
With the remaining funds from the latest bond sale, this public company has purchased an additional 7,420 BTC (worth $458.2 million) at an Medium price of $61,750 per coin, bringing its total Bitcoin holdings to 252,220 compared to 244,800 BTC recorded a week ago . Thus, billionaire Michael Saylor's company is making a profit of nearly 60% of its investment portfolio.
MicroStrategy's Bitcoin Purchase History. Source: Saylor Tracker (September 20, 2024)
MicroStrategy seriously entered the Bitcoin market in August 2020, with its first investment worth $250 million. Since then, despite continuous losses , they have continued to add Bitcoin to their reserves and have stated that they have no plans to sell Bitcoin .
Besides familiar giants like MicroStrategy, MARA , Tesla , Tether ... still maintaining the strategy of buying Bitcoin periodically, many large companies and organizations in the world have begun to XEM Bitcoin as an effective investment tool such as Metaplanet , OneMedNet , Boyaa Interactive , Semler Scientific .
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