What happened? Strategy Inc. priced a €620M offering of 10% perpetual preferred stock (STRE).
Michael Saylor’s Strategy Inc. upsized an initial plan from €350M to €620M after strong demand and priced 7.75 million STRE shares at €80 each, with the deal expected to close November 13, 2025. The offering brings in roughly €608.8M net of fees and Strategy says proceeds will fund general corporate needs, including buying more bitcoin. The shares pay a 10% annual dividend paid quarterly, include compounding penalties for missed payments, and come with redemption and liquidation protections for holders.
Who does this affect? Institutional investors, Strategy shareholders, and anyone watching corporate bitcoin moves.
The deal is aimed at institutional investors and was led by big banks like Barclays and Morgan Stanley, which signals strong institutional interest in the product. Existing Strategy shareholders may see the company augment its bitcoin reserves and funding runway, while new investors get a high-yield preferred security with downside protections. Bitcoin traders and crypto-focused funds also care because Strategy plans to use some proceeds to buy more bitcoin, which could influence supply-demand dynamics.
Why does this matter? It could shift market flows by linking traditional yield products to bitcoin-driven corporate strategies.
Raising €620M through a high-yield, crypto-linked preferred stock shows investor appetite for yield combined with crypto exposure and could inspire similar hybrid offerings from other firms. If Strategy follows through on more bitcoin purchases, that incremental demand can nudge prices higher or at least tighten available supply, especially during thin market periods. Overall, the move helps bridge traditional finance and crypto markets, potentially drawing more institutional capital and changing how investors seek yield and bitcoin exposure.