Strategy Funds 22,337 BTC Purchase With $1.18 Billion STRC Perpetual Preferred Shares

Strategy completed a 22,337 Bitcoin acquisition last week, funded primarily by $1.18 billion in STRC perpetual preferred shares—equivalent to roughly 16,800 BTC at an average $70,000 price—and $396 million through its common stock ATM program, market sources cited by ChainCatcher report. The STRC issuance adds about $135 million in annual dividends at the current 11.5% rate, lifting total yearly dividend obligations above $1 billion, with approximately $2.25 billion held in reserves to cover payments, the company said. With common shares down more than 70%, Strategy plans to rely more on STRC financing and use common stock selectively when the net asset value multiple exceeds 1, and may raise the STRC dividend by 25 basis points if the one-month volume-weighted average price remains below the $100 par value following three consecutive days of sub-par trading since the March 15 ex-dividend date.