Strive Targets $150M Raise to Cut Debt and Buy More Bitcoin

• Strive plans to raise to $150M through SATA preferred stock to pay down Semler liabilities and buy Bitcoin.
• The firm will offer debt-for-equity swaps to convert Semler notes into preferred shares and simplify its capital structure.
• Strive’s move comes as crypto treasury companies face heavy 2026 pressure to build yield beyond asset holdings.

Strive, a fund management company founded by former US Presidential candidate Vivek Ramaswamy, is on the brink of raising as much as $150 million via a preferred stock offering. The funds raised will be used for paying off debt and buying more Bitcoin. This is a positive development for Strive, especially when analysts predict that weak companies such as those operating a cryptocurrency treasury model will struggle in 2026.

In a Wednesday announcement, Strive said it will sell Variable Rate Series A Perpetual Preferred Stock, trading under the ticker SATA. The company will use the raised funds alongside existing cash and possible gains from unwinding hedge positions to pay down liabilities at its wholly owned subsidiary, Semler Scientific.

Strive aims to simplify Semler’s capital structure

The major focus of Strive’s debt reduction will be the repurchase of a portion of Semler’s 4.25% convertible senior notes due in 2030, aside from a reduction in the borrowings under the master loan agreement with Coinbase Credit. According to Strive, this strategy will help it return to a “perpetual-preferred only amplification model,” which signals a shift toward a cleaner capital stack driven by preferred financing rather than layered debt exposure.

After debt repayment, Strive may direct remaining proceeds toward Bitcoin purchases and Bitcoin-related products. This approach keeps the firm aligned with its long-term treasury accumulation play, even as the market debates the sustainability of pure “hold BTC” business models.

Debt-for-equity swaps reshape the offering

Strive also outlined another key lever: private debt-for-equity exchanges. Under this plan, certain holders of Semler’s convertible notes could swap their debt positions for SATA preferred shares.

These swaps could shrink the size of the public offering, since Strive would retire debt through conversion rather than cash buybacks. However, the company clarified that these exchanges will not bring in fresh cash, which means Strive’s total usable liquidity depends heavily on public fundraising and balance sheet flexibility.

SATA offers high yield with variable pricing

Strive structured SATA as a high-yield preferred instrument. The stock will start with a 12.25% annual dividend, paid monthly in cash. The dividend rate will adjust over time based on market conditions and short-term interest rates.

SATA shares are perpetual, meaning they do not mature. However, Strive can redeem them at its option, generally at $110 per share plus unpaid dividends. This gives the company future flexibility if rates fall or if it wants to optimize capital costs after balance sheet cleanup.

Barclays and Cantor Fitzgerald will act as joint book-running managers, while Clear Street will serve as co-manager.

Semler acquisition boosts Strive’s BTC holdings

Strive’s fundraising plan follows its announcement earlier this month of an all-stock acquisition of Semler Scientific, a deal that has already secured shareholder approval. Semler currently holds 5,048.1 BTC, and when Strive completes his transaction, the overall bitcoin treasury will increase to 12,797.9 BTC.

Strive has been on an aggressive growth spree in 2025 as well. Back in May, the company kicked off a $750 million fundraising effort aimed at “alpha-generating” BTC strategies. But then, in December, it started another stock sales program worth $500 million to carry on its accumulation spree.

Treasury firms face tougher 2026 conditions

Strive is making its move amidst rising concerns regarding the fact that many crypto treasury firms may not survive the next cycle. Industry figures insist that a crypto treasury model must offer returns on investment beyond mere accumulation, especially when prices fall below its net asset value.

MoreMarkets CEO Altan Tutar recently warned that altcoin-focused DATs may collapse first, followed by treasury firms concentrated in large-cap assets like Ethereum, Solana, and XRP. He expects the sector to thin sharply as competition grows and fundraising becomes harder.

Strive is signaling that it plans to stay ahead of that pressure by refinancing debt, tightening its structure, and keeping Bitcoin as its core long-term hedge.

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