Strategy (Nasdaq: MSTR; STRK; STRF) has announced plans for an initial public offering (IPO) of 2.5 million shares of its 10.00% Series A Perpetual Stride Preferred Stock, trading under the ticker STRD.
The offering is set to be registered under the Securities Act of 1933 and is subject to market conditions and other regulatory approvals.
According to the company’s June 2 press release, Strategy intends to use the proceeds from the IPO for general corporate purposes, which notably include the acquisition of bitcoin and funding for working capital.
The STRD stock will carry a non-cumulative dividend yield of 10.00% per annum on the stated value, although dividends are not guaranteed. Payments will only be made out of legally available funds and must be declared by the board of directors or an authorized committee. If declared, dividends will be paid quarterly on March 31, June 30, September 30, and December 31, starting from September 30, 2025.
Importantly, no interest or arrears will accrue for missed payments since the dividends are non-cumulative. This means shareholders are not entitled to back payments if dividends are skipped in any quarter.
The company emphasized that declared dividends will be paid in cash as outlined in the offering’s prospectus supplement.
This offering continues Strategy’s aggressive capital market initiatives aligned with its long-standing focus on Bitcoin as a strategic treasury asset.
Kosta Gushterov
Reporter at Coindoo
Kosta has been a part of the team since 2021 and has solidified his position with a thirst for knowledge, incredible dedication to his work and a “detective-like” mindset. He not only covers a wide range of trending topics, he also creates reviews, PR articles and educational content. His work has also been referenced by other news outlets.
Source: https://coindoo.com/strategy-announces-ipo-of-strd-stock-plans-to-use-proceeds-for-bitcoin-acquisition/