Strive has closed an upsized $630 million preferred stock offering, introducing a new fixed dividend security as the Bitcoin treasury company expands its financing options beyond its existing SATA shares.
Summary
- Bitcoin treasury firm Strive closed its upsized $630 million public offering after selling 7 million SATS preferred shares at $90 each.
- The new SATS shares carry a 15% annual dividend rate and are expected to begin trading on Nasdaq under the ticker SATS around October 20.
- Strive CEO Matt Cole said the offering would provide another source of capital while strengthening the credit profile of its existing SATA preferred stock.
- The company outlined plans to establish a dividend reserve covering 18 months of payments, equivalent to $157.5 million at the final offering size.
According to the company’s October 20 announcement, Strive sold 7 million shares of its 15% Series A Perpetual SATS Preferred Stock at $90 apiece, with trading expected to begin on the Nasdaq Global Market under the ticker SATS on or around the same date.
The completed offering was 40% larger than the original 5 million shares proposed on October 13. Strive subsequently priced the upsized transaction on October 15, bringing gross proceeds to $630 million before underwriting fees, commissions and other expenses.
Strive Chairman and CEO Matt Cole called the offering a “critical milestone” in the company’s strategy to improve long-term returns for common shareholders. He said SATS would provide another way to raise capital while strengthening SATA’s credit profile, with the two securities serving different purposes.
In his words, SATA is designed for “price stability,” while SATS focuses on “income stability.”
Strive’s SATS offers fixed 15% annual dividends
SATS carries a fixed annual dividend of 15% calculated against a stated value of $100 per share, even though investors purchased the stock at $90.
At the offering price, the $15 annual dividend represents an initial yield of approximately 16.67% if the full dividend is declared and paid. The rate remains fixed against the stated amount, meaning the effective yield for investors buying shares later will depend on their purchase price.
Dividend payments are scheduled for each business day beginning November 9, subject to approval by Strive’s board of directors and the availability of legally distributable funds. Because the dividends are cumulative, unpaid amounts continue to accrue under the security’s terms.
Strive said the first scheduled payment, if declared in full, would cover all accumulated and unpaid dividends from the offering’s closing date.
According to the company’s preliminary prospectus, Strive planned to set aside enough money to cover 18 months of dividend payments, using $22.50 per SATS share from its existing cash and securities.
Based on the final offering of 7 million shares, the reserve would amount to $157.5 million. However, the company did not confirm how much had been placed in the reserve when it announced the offering’s closing.
New preferred shares sit below SATA in Strive’s capital structure
With SATS entering the market, Strive now has two preferred securities designed around different income arrangements. SATA uses a variable dividend rate that the company manages with an emphasis on price stability, while SATS offers a fixed rate intended to provide more predictable income.
According to Cole, this difference would help Strive maintain what it calls its Amplification Ratio, a measure used in its strategy to generate returns for common shareholders relative to Bitcoin.
The chief executive explained that SATS would place another layer of junior capital beneath SATA, improving the latter’s position within the company’s capital structure.
Strive has spent much of 2026 using preferred equity to finance Bitcoin purchases. In September, the company purchased 469 Bitcoin for approximately $36.6 million using proceeds from SATA, taking its reported holdings to 25,000 BTC.
A subsequent SATA funding estimate covered roughly $85.88 million raised across three trading sessions in late September. The estimate came from BitcoinTreasuries.net and did not establish that the company had spent the entire amount purchasing Bitcoin.
Strive’s preferred stock program had already undergone changes earlier in the year. As crypto.news reported in May, the company introduced business day dividend payments for SATA beginning in June, replacing its previous monthly payment arrangement.
Bitcoin buying remains a priority
Although the latest announcement focused on the completed offering and dividend terms, Strive’s October 15 SEC filing outlined several possible uses for the proceeds.
Bitcoin and Bitcoin related investments were among the permitted uses, alongside working capital, income producing assets, capital expenditures and potential repurchases of Strive’s common or SATA preferred shares.
The company retained flexibility to use funds for acquisitions of businesses, assets or technologies that complement its existing operations. No specific allocation among those purposes was disclosed in the closing announcement.
Strive Chief Risk Officer Jeff Walton said the company’s Bitcoin balance sheet gives preferred shareholders a way to monitor the assets supporting its dividend obligations.
“We don’t have any debt, or maturities, and we’re focused on a single obligation, the dividend,” Walton said.
Chief Investment Officer Ben Werkman described SATS as a fixed rate perpetual security intended for investors with different income requirements from those holding SATA.
The offering was conducted under Strive’s Form S-3 registration statement through a prospectus supplement and accompanying prospectus filed with the Securities and Exchange Commission.
