Strategy Inc. bought another one 24,869 Bitcoin, worth approximately $2.01 billionlast week. This indicates that the company remains firmly committed to its aggressive accumulation strategy, despite increasing scrutiny over compressed mNAV multiples and balance sheet sustainability.
In a new Form 8-K filing released on May 18Strategy revealed that the purchases were made between May 11 and May 17 at an average price of approx $80,985 per Bitcoin.
The acquisition will bring Strategy’s total Bitcoin holdings to:
- purchased for approx $63.87 billion
- at an average purchase price of approx $75,700 per BTC.
That further strengthens the company’s position as the world’s largest publicly traded Bitcoin holder.
Strategy financed purchases through the sale of ATM shares
The filing also revealed that the Bitcoin purchases were funded with proceeds raised by the company from the market [ATM] offer programs.
Most of the capital came from the sale of:
- about 19.5 million STRC shares preference shares,
- approximately generate $1.95 billion in net proceeds.
For comparison, the company put forward the following:
- about $83.7 million through MSTR common stock sale.
The structure suggests that the strategy is increasingly relying on preferred style financing instruments rather than heavily diluting common equity to fund Bitcoin purchases.
The filings are in stark contrast to recent concerns about debt management
The last declaration comes just days later Strategy announced plans to repurchase approximately $1.5 billion of convertible debt. It also noted that future funding sources could potentially include the sale of Bitcoin.
That earlier filing raised questions about whether compressed mNAV multiples and changing financing conditions were starting to put pressure on the broader Bitcoin corporate treasury model.
However, the latest revelation seems to send the opposite message.
Instead of reducing exposure, Strategy used newly raised capital to further expand its Bitcoin holdings.
The filing also explicitly stated that the latest Bitcoin purchases were funded with ATMs, and not through the sale of existing BTC holdings.
The treasury strategy evolves as the mNAV shrinks
Strategy’s mNAV multiple has recently traded closer to 1.0, reflecting a smaller premium between the company’s market value and the value of its underlying Bitcoin holdings.
Lower mNAV premiums can make traditional equity issues less attractive. This is because investors are no longer awarding the large treasury premiums seen during earlier phases of Bitcoin accumulation trading.
The company’s increased reliance on preferred stock issuance may reflect an evolving financing approach designed to maintain access to capital while continuing Bitcoin’s large-scale accumulation.
Final summary
- Strategy purchased another 24,869 BTC worth approximately $2.01 billion, bringing its total holdings to 843,738 BTC.
- The company financed the bulk of the purchases through the issuance of preferred shares, signaling an evolving treasury financing strategy under mNAV pressure.