Strategy has purchased 1,036 Bitcoin for $81.9 million and repurchased $188.3 million of its STRC preferred stock, bringing its Bitcoin holdings to 850,364 BTC as the cryptocurrency trades below the company’s average acquisition price.
Summary
- Strategy acquired 1,036 BTC for $81.9 million, lifting its corporate Bitcoin treasury to 850,364 BTC.
- Strategy funded its Bitcoin purchase and $188.3 million STRC buyback through MSTR common stock sales.
- Michael Saylor confirmed the Bitcoin purchase after hinting at another acquisition through his weekend chart.
- Strategy reported $4.9 billion in dollar assets, including reserves supporting preferred dividends and debt payments.
- Strive purchased 29 Bitcoin for approximately $2.2 million, bringing its reported holdings to 43,153 BTC.
According to Strategy’s Nov. 9 filing, the company acquired the Bitcoin between Nov. 2 and Nov. 8 at an average price of $79,012 per coin, including fees and expenses. Its total holdings now have a combined purchase cost of $64.16 billion, with an average acquisition price of $75,456.
The announcement followed a weekend hint from Executive Chairman Michael Saylor, who shared the company’s familiar Bitcoin accumulation chart shortly before its scheduled weekly disclosure.
Michael Saylor confirms Bitcoin purchase after weekend hint
On Sunday, Nov. 8, Saylor published an X post carrying the words “Connecting the dots,” alongside a chart tracking Strategy’s Bitcoin purchases.
As crypto.news reported Sunday, the message raised expectations of another acquisition after Strategy bought 811 BTC for $65.5 million in the previous reporting week.
At the time, Strategy held 849,327 BTC, while Bitcoin traded near $75,900. The company had repurchased $208.2 million of STRC preferred stock during that earlier period.
Saylor confirmed the latest purchases on Monday, giving investors details of the company’s Bitcoin accumulation and preferred-stock transactions.
“Strategy has acquired 1,036 $BTC and repurchased $188M of $STRC,” Strategy Executive Chairman Michael Saylor wrote on X.
Bitcoin was trading near $74,800 following the announcement, leaving Strategy’s total holdings slightly below their average acquisition cost. At that price, its Bitcoin treasury was worth approximately $63.6 billion, compared with the $64.16 billion the company spent acquiring the coins.
The latest 1,036 BTC purchase was larger than the previous week’s 811 BTC acquisition but remained smaller than some of Strategy’s purchases earlier in the year.
Strategy uses MSTR stock sales to fund Bitcoin and STRC purchases
Strategy financed both transactions through its at-the-market common-stock offering program, selling 2,051,348 MSTR shares for approximately $283.8 million in net proceeds.
Of that amount, $81.9 million funded Bitcoin purchases, while $188.3 million went toward repurchasing STRC preferred shares. The company allocated the remaining $13.6 million to its general dollar cash balance.
The financing arrangement differed from the preceding week, when Strategy used common-stock proceeds to purchase Bitcoin and its existing cash to repurchase STRC.
According to the filing, Strategy bought back 1,887,464 STRC shares during the latest reporting period. It did not sell new preferred shares or repurchase shares of its other preferred-stock classes.
STRC, known as Stretch, pays variable dividends and is designed to trade near its $100 stated amount. The company adjusts the dividend rate periodically as part of that structure.
Repurchasing preferred shares reduces the amount of stock entitled to future dividends, although Strategy did not disclose the exact annual savings from the latest transaction.
The company still had $560.3 million available under its preferred-stock repurchase authorization as of Nov. 8. Its separate $1 billion common-stock repurchase authorization remained unused during the week.
Strategy maintains $4.9 billion in dollar assets
Alongside the purchases, Strategy reported approximately $4.9 billion in dollar-denominated assets, comprising a $4.77 billion reserve and $146.2 million in general dollar cash.
The reserve supports dividend payments on preferred securities and interest obligations on outstanding debt. Strategy used $21.1 million from that reserve to pay preferred-stock dividends during the week.
General dollar cash serves a different purpose, giving the company funds for Bitcoin purchases, capital management and potential additions to the reserve.
Strategy’s earlier STRC repurchase activity had already drawn attention to how the company manages its preferred securities while continuing to accumulate Bitcoin.
The latest filing showed that Strategy retained substantial unused financing capacity, including $18.34 billion under its MSTR at-the-market offering program.
Strive buys another 29 BTC as corporate Bitcoin holdings grow
Strategy was not the only publicly traded Bitcoin treasury company reporting a purchase on Monday.
Strive CEO Matt Cole announced on X that the company had acquired another 29 BTC for approximately $2.2 million at an average price of $75,721 per coin.
Cole reported that the purchase brought Strive’s total holdings to 43,153 BTC.
Strive has been building its Bitcoin holdings through a combination of corporate financing transactions and cryptocurrency purchases. The company previously acquired 2,822 BTC for approximately $235 million in October after raising capital through warrant exercises.
Its Bitcoin strategy involves preferred-stock financing as well as ordinary equity fundraising. Unlike Strategy’s latest disclosure, Cole’s Monday announcement did not provide a detailed breakdown of the financing used for the new 29 BTC purchase.
