Business intelligence firm and long-time Bitcoin holder MicroStrategy has announced plans to offer $500 million in convertible senior notes due in 2032. The proceeds will be used to purchase more Bitcoin and for other corporate purposes.
According to the official announcement, the NASDAQ-listed company will also give initial buyers the option to purchase up to an additional $75 million in notes within 13 days from the issuance date.
These notes will be unsecured senior obligations of the company, accruing interest semi-annually on June 15th and December 15th, starting December 15th, 2024. They will mature on June 15th, 2032, unless repurchased, redeemed, or converted earlier.
Starting June 20, 2029, MicroStrategy can redeem all or part of the notes for cash, provided at least $75 million in principal amount remains outstanding.
Holders can require MicroStrategy to repurchase any portion of their notes for cash on June 15, 2029. Additionally, the notes can be converted into cash, MicroStrategy class A common stock, or a combination of both at the company’s discretion.
Image Credit: Pixabay
Keep in mind that we may receive commissions when you click our links and make purchases. However, this does not impact our reviews and comparisons. We try our best to keep things fair and balanced, in order to help you make the best choice for you.
