Strategy Adds 950 BTC Worth $76M to Holdings, Allocates $174M to STRC Buyback
Following a two-week hiatus, Strategy purchased 950 Bitcoin valued at $75.7 million while simultaneously deploying $174 million to buy back shares of its STRC preferred stock.
Following a two-week hiatus from Bitcoin purchases, Michael Saylor's Strategy has returned to acquiring the digital asset while simultaneously maintaining its STRC preferred stock repurchase activity.
Between Monday and Sunday, Strategy purchased 950 Bitcoin (BTC) worth $75.7 million at an average acquisition price of $79,670 per token, based on a Form 8-K document submitted to the US Securities and Exchange Commission on Monday.
This latest acquisition expanded Strategy's total Bitcoin reserves to 846,000 BTC, obtained through cumulative purchases totaling approximately $63.8 billion, representing an average acquisition cost of $75,416 per Bitcoin when accounting for fees and expenses. At the publication time, with Bitcoin valued at $84,925, Strategy held an unrealized profit of roughly $8.05 billion across its entire Bitcoin portfolio.
This acquisition arrives as Strategy navigates a delicate balance between its ongoing Bitcoin accumulation approach and the oversight of an expanding portfolio of preferred securities alongside substantial cash reserves measured in billions of dollars.
Trading data from Yahoo Finance shows that shares of Strategy, recognized as the world's largest publicly traded company holding Bitcoin in its treasury, climbed 7.4% to reach $165.2 during Monday's pre-market session. Meanwhile, Strive, which ranks as the fifth-largest corporate Bitcoin holder globally, made its own Bitcoin purchase announcement on Monday. The company added 1,355 BTC throughout the previous week, pushing its aggregate holdings to 26,355 coins. Strive's stock price increased 6.44% to $32.03.
Strategy allocates $174 million toward STRC buyback program
Throughout the same week, Strategy maintained its buyback efforts for STRC, its perpetual preferred stock, repurchasing approximately 1.77 million shares at a total cost of $174 million.
During Monday's pre-market trading session, STRC experienced a 0.35% increase, reaching $98.85.
According to Strategy's disclosure, the company maintains $875.1 million in remaining capacity under its preferred-stock repurchase authorization and retains $1 billion available under its MSTR share buyback program.
Additionally, the company disclosed zero sales activity under its at-the-market offering programs for the period spanning Sept. 14 through Sept. 20, indicating no capital was generated through these vehicles during that timeframe.
Decline in Strategy's available cash reserves
The company's "USD Cash" position experienced a nearly 20% reduction, declining to $1.05 billion from the $1.30 billion level reported one week prior during its previous cash disclosure.
Concurrently, its distinct "USD Reserve" category decreased to $5.04 billion from $5.10 billion, as Strategy allocated $57.4 million toward fulfilling preferred-stock dividend obligations and servicing interest payments on its outstanding debt instruments.
Strategy utilizes its USD Cash allocation for comprehensive treasury operations, encompassing Bitcoin acquisitions and capital management activities, whereas the USD Reserve designation serves primarily to fund preferred-stock dividend distributions and debt interest obligations.