MicroStrategy, a United States-based software development company, is planning to increase its funds to about $750 million through a stock sale. It is expected that they will also use the proceeds to buy more Bitcoin, stated Cointelegraph.
On August 1, 2023, in a filing to the Securities and Exchange Commission, MicroStrategy announced that it has entered into a sales agreement with three companies Cowen and Company, Canaccord Genuity and Berenberg Capital. This is expected to be related to the sale of its class A common stock, Cointelegraph added.
“As with prior programs, we may use the proceeds for general corporate purposes, which include the purchase of Bitcoin as well as the repurchase or repayment of our outstanding debt,” Andrew Kang, Chief Financial Officer, MicroStrategy, explained.
Furthermore, it is expected that the shares in MicroStrategy have benefited significantly from the ongoing Bitcoin rally. Supposedly, the shares rose to about 200% since the start of this year, Cointelegraph concluded.
(With insights from Cointelegraph)