On February 24th, COINOTAG News reported that Strategy, established by Michael Saylor, has successfully finalized a $2 billion convertible notes offering. These notes feature a 0% coupon and a premium of 35%, with an implied strike price near $433.43. This offering signifies Strategy’s senior unsecured debt, lacking traditional interest, thereby not accruing principal until maturity unless acted upon beforehand.
The maturity date is set for March 1, 2030, while bondholders have the option to convert their notes into equity under specific conditions until December 3, 2029. The net proceeds from this convertible notes offering are earmarked for overarching corporate needs, with a keen focus on the acquisition of Bitcoin and bolstering working capital. This strategic move could further solidify Strategy’s position in the crypto market.