TL;DR
- Strategy paused its weekly Bitcoin purchases and repurchased 1.8 million STRC preferred shares for a total of $176.3 million.
- The company doubled its digital credit securities repurchase program, raising the limit to $2 billion, without modifying its holdings of 845,050 BTC.
- Strive acquired 1,375 Bitcoin for $109 million and Capital B announced its largest purchase in nearly a year, with a $25 million transaction.
Strategy interrupted its weekly Bitcoin accumulation routine during the week of August 31 to September 7 to focus on the repurchase of preferred shares from its own issuance.
According to a filing with the U.S. Securities and Exchange Commission (SEC), the company founded by Michael Saylor acquired 1.8 million STRC shares for a total of $176.3 million.
At the same time, it doubled the size of its Digital Credit Securities Repurchase Program, which now reaches a limit of $2 billion. The firm’s holdings remain unchanged at 845,050 BTC, acquired at a total cost of $63.6 billion at an average price of $75,412 per unit.
Last week, Strategy had made its first Bitcoin purchase since mid-June, with a $370 million transaction, which made the pause recorded in the most recent period all the more notable.
Strategy: Pressure on the STRC Share Price
STRC shares are trading around $97.70 in the pre-market, a 2.3% discount to their par value of $100. Trading below par limits the company’s ability to raise funds through new sales of that instrument and may force it to increase its dividend rate.
On June 29, Strategy presented a capital framework that contemplates the sale of Bitcoin to fund dividends, and raised the annual rate on STRC shares to 12%. At the same time, MSTR shares, listed on the Nasdaq, recorded a decline of more than 3% on the same day, according to Yahoo Finance data.
Treasuries Keep Buying
While Strategy steps back from the spot market, other companies moved forward with their purchases. Strive, the fifth-largest corporate Bitcoin holding company, added 1,375 BTC for $109 million at an average cost of $79,281, raising its total holdings to 24,531 units. Meanwhile, French firm Capital B announced a $25 million acquisition, its largest in nearly a year, which positioned it above H100 Group among public BTC holders.
