Strategy Raises $263.5 Million by Selling MSTR Shares, Keeps Bitcoin Holdings Unchanged

Strategy raised fresh capital by selling its own shares while keeping its Bitcoin holdings unchanged.

Cointelegraph reported July 20 that the company sold 2.73 million MSTR common shares through its at-the-market program between July 13 and July 19, raising $263.5 million. Strategy disclosed the sale in an 8-K filing with the US Securities and Exchange Commission.

Strategy made no Bitcoin purchases or sales during the period. Its holdings remain at 843,775 BTC. The total acquisition cost is $63.69 billion, with an average purchase price of $75,476. Bitcoin was trading at about $64,657.

The share sale increased Strategy's cash holdings to $3.225 billion, up 7.5% from a week earlier. The funds will be used to pay dividends on preferred shares and interest on existing debt.

Debate over the valuation of Strategy's STRC preferred stock is also continuing. Credit investor King Oei wrote on X that valuing STRC simply as a 14% yield product ignores future cash flows. He argued that even if Bitcoin does not rise from current levels, STRC's fair value could reach $96 when Strategy's ability to pay dividends is taken into account. If Bitcoin rises, Strategy's financial position would improve, bringing STRC closer to its $100 par value, he added.

Strategy currently has about $23.5 billion of remaining capacity under its common stock ATM program.