MicroStrategy to Sell $700M in Convertible Notes

MicroStrategy has announced its plans to sell $700 million in convertible notes, an increase from the previously reported amount of $600 million. This decision comes amidst a strong cryptocurrency market trend.

Detailed on March 6, the notes, which will mature in 2030, will have an interest rate of 0.625% per annum and include a conversion price of $1,497.68 per share.

This represents a 21% premium compared to the current trading price of $1,234.48 at the time of the disclosure. The firm stated that holders of the notes can request MicroStrategy to buy back their notes on September 15, 2028.

This can also happen if certain events occur that are considered fundamental changes under the indenture governing the notes.

The buyback price will be 100% of the principal amount of the notes, plus any accrued and unpaid interest. The notes are only available to accredited or institutional investors.