Strategy aims to secure $2.1 billion through STRF stock sale to enhance its Bitcoin assets.

Strategy (previously known as MicroStrategy) has announced intentions to secure $2.1 billion through the sale of its Series A Perpetual Strife Preferred Stock (STRF).

The announcement made on May 22 indicates that the stock will be released as part of an at-the-market (ATM) program. This approach enables Strategy to issue shares gradually, adapting to favorable market conditions such as trading volume and price fluctuations.

The capital generated from these sales is intended to support the company’s Bitcoin purchases and other business initiatives.

STRF

The offering will be managed in partnership with TD Securities, Barclays Capital, and The Benchmark Company, as outlined in the prospectus. STRF shares are available on the Nasdaq Global Select Market and are priced at $100.65 each.

Strategy emphasized that this new issuance will be in addition to the existing 8.5 million STRF shares currently on the market.

This preferred stock is not convertible into other forms of securities and does not grant preemptive rights to stakeholders. Consequently, investors will not have priority in future stock issues nor will they benefit from any equity conversions.

Swan, a financial firm concentrating on Bitcoin, referred to the offering as a “Trojan horse” that could facilitate the integration of conservative fixed-income capital into the Bitcoin ecosystem.

It further stated:

“STRF offers a 10% yield, is overcollateralized with BTC, and is designed to appeal to traditional finance. The aim? To achieve investment-grade status. While Wall Street is focused on spot ETFs, Strategy is constructing a comprehensive Bitcoin credit market—STRK, STRF, conversions, and high-yield ETFs linked to MSTR.”

Strategy’s fundraising efforts

The recent sale of shares is part of Strategy’s extensive 42/42 capital raising strategy.

This action signals the company’s operation of three simultaneous ATM sales programs, including an MSTR initiative, which still has the potential to raise around $18.89 billion.

In addition, the firm has designated $21.79 billion to STRK and $2.1 billion to STRF.

Currently, the company possesses 576,230 BTC, establishing itself as the largest corporate holder of Bitcoin, with no intentions of halting its crypto accumulation.

According to data from Saylor Tracker, the company’s Bitcoin reserve is valued at around $64 billion, representing an increase of over 59% from its original cost basis of $40.2 billion.