Strategy Buys 1,665 More Bitcoin And Spends $152M Buying Back STRC

TL;DR

• Strategy bought 1,665 BTC for approximately $142.7 million between September 21 and September 27.
• The company now holds 847,666 BTC acquired for about $63.95 billion in total.
• Strategy also repurchased roughly $151.7 million of STRC preferred shares during the same week.

Strategy has accelerated its Bitcoin buying again while simultaneously using capital to retire some of its own preferred stock.

The company disclosed on September 28 that it purchased 1,665 BTC for approximately $142.7 million during the previous week.

The average purchase price was $85,681 per Bitcoin.

Strategy Now Holds 847,666 BTC

The latest acquisition brings Strategy’s total Bitcoin holdings to 847,666 BTC.

Those coins were acquired for an aggregate cost of approximately $63.95 billion, including fees and expenses, giving the company an average acquisition price of $75,437 per BTC.

The new purchase follows Strategy’s acquisition of 950 BTC the previous week.

That makes this a separate transaction rather than a restatement of the earlier buy.

Strategy financed the latest activity in part through sales of its MSTR common stock.

The company sold roughly 1.47 million shares through its at-the-market program for approximately $246.2 million in net proceeds.

Of that amount, about $142.7 million went toward Bitcoin.

Another $103.5 million was used toward repurchasing STRC.

Strategy Is Managing Both Sides Of Its Capital Structure

The company bought back approximately 1.53 million STRC shares for around $151.7 million in total.

The remaining cost of that repurchase was funded with roughly $48.1 million of existing cash.

That makes this week’s disclosure more interesting than a standard Strategy Bitcoin purchase.

The company is simultaneously issuing common stock, increasing its Bitcoin position and reducing the amount of one preferred security outstanding.

Strategy has spent the past year building an increasingly complicated capital structure around its Bitcoin treasury.

Common shares, convertible debt and several classes of preferred securities all provide different ways to raise capital or distribute income.

STRC is one of those preferred products.

Buying some of it back while continuing to accumulate Bitcoin shows Strategy actively managing the cost and composition of that funding rather than simply issuing securities indefinitely.

The Bitcoin number will naturally attract most of the attention.

But the STRC repurchase is part of the same story.

Strategy is now managing a balance sheet where Bitcoin accumulation and capital-market engineering are effectively one operation.

This week, it spent heavily on both.

This article was written by the News Desk and edited by Samuel Rae.