{"id":36761,"date":"2021-02-19T21:22:05","date_gmt":"2021-02-19T19:22:05","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=36761"},"modified":"2025-08-29T07:56:55","modified_gmt":"2025-08-29T04:56:55","slug":"microstrategy-raises-more-than-1-billion-in-debt-financing-to-buy-bitcoin","status":"publish","type":"post","link":"https:\/\/u1f987.com\/en\/microstrategy-raises-more-than-1-billion-in-debt-financing-to-buy-bitcoin\/","title":{"rendered":"MicroStrategy raises more than $1 billion in debt financing to buy Bitcoin"},"content":{"rendered":"<p>MicroStrategy closed <a href=\"https:\/\/u1f987.com\/en\/news\/microstrategy-to-raise-600-million-to-buy-bitcoin\">previously announced<\/a> round of senior convertible notes offering totaling $1.05 billion at a 0% coupon and maturing in 2027.<!--more--><\/p>\n<blockquote class=\\\"twitter-tweet\\\" data-lang=\\\"en\\\">\n<p dir=\\\"ltr\\\" lang=\\\"en\\\">MicroStrategy Completes $1.05 Billion Offering of Convertible Notes at 0% Coupon and 50% Conversion Premium with <a href=\\\"https:\/\/twitter.com\/hashtag\/Bitcoin?src=hash&#038;ref_src=twsrc%5Etfw\\\">#Bitcoin<\/a> Use of Funds<a href=\\\"https:\/\/t.co\/KHIyrhR8Nz\\\">https:\/\/t.co\/KHIyrhR8Nz<\/a><\/p>\n<p>\u2014 Michael Saylor (@michael_saylor) <a href=\\\"https:\/\/twitter.com\/michael_saylor\/status\/1362785854758993927?ref_src=twsrc%5Etfw\\\">February 19, 2021<\/a><\/p>\n<\/blockquote>\n<p><script async src=\\\"https:\/\/platform.twitter.com\/widgets.js\\\" charset=\\\"utf-8\\\"><\/script><br \/>\nThe offering included notes for $150 million, issued under a purchase option that initial purchasers could exercise within 13 days after issuance. According to the statement, they completed it on February 19, 2021.<\/p>\n<p>The notes were purchased by qualified institutional investors.<\/p>\n<p>The notes mature on February 15, 2027, unless the company redeems or converts them earlier. After February 20, 2024, MicroStrategy may redeem all notes or any portion thereof.<\/p>\n<p>The initial conversion rate of the notes is 0.6981 shares of MicroStrategy Class A common stock per $1,000 principal amount. This equates to an initial conversion price of approximately $1,432.46 per share and includes a premium of about 50% relative to MicroStrategy&#8217;s Nasdaq stock price on February 16, 2021.<\/p>\n<p>The company estimates net proceeds from the bond offering at approximately $1.03 billion after deducting discounts and commissions to purchasers and placement expenses.<\/p>\n<p>MicroStrategy intends to use the proceeds from the notes offering to acquire additional Bitcoin.<\/p>\n<p>According to <a href=\\\"https:\/\/bitcointreasuries.org\/\\\">Bitcoin Treasuries<\/a>, as of the time of writing the firm owns 71,079 BTC.<\/p>\n<p>Earlier in December MicroStrategy issued convertible notes <a href=\"https:\/\/u1f987.com\/en\/news\/microstrategy-raises-650-million-for-bitcoin-purchase\">for $650 million<\/a>. The funds raised <a href=\"https:\/\/u1f987.com\/en\/news\/microstrategy-invests-another-650-million-in-bitcoin\">were invested in the first cryptocurrency<\/a>.<\/p>\n<p>Follow ForkLog on <a href=\\\"https:\/\/twitter.com\/ForkLog\\\" target=\\\"_blank\\\" rel=\\\"nofollow noopener noreferrer\\\">Twitter<\/a>!<\/p>\n","protected":false},"excerpt":{"rendered":"<p>MicroStrategy closed the previously announced round of senior convertible notes offering totaling $1.05 billion at a 0% coupon and maturing in 2027.<\/p>\n","protected":false},"author":1,"featured_media":36762,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[1431,52,1207],"class_list":["post-36761","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-bonds","tag-investments","tag-microstrategy"],"aioseo_notices":[],"amp_enabled":true,"views":"25","promo_type":"1","layout_type":"1","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/36761","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/comments?post=36761"}],"version-history":[{"count":1,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/36761\/revisions"}],"predecessor-version":[{"id":36763,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/36761\/revisions\/36763"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media\/36762"}],"wp:attachment":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media?parent=36761"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/categories?post=36761"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/tags?post=36761"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}