Strategy Inc. said it bought 1,036 bitcoin for about $81.9 million between Nov. 2 and Nov. 8, according to a Nov. 9 Form 8-K filing with the U.S. Securities and Exchange Commission. The purchase raised the company’s total bitcoin holdings to 850,364 BTC.
The company said the latest acquisition was funded through sales of its Class A common stock. Strategy sold 2,051,348 MSTR shares for roughly $283.8 million in net proceeds, with part of that amount used for the bitcoin purchase.
Latest purchase and total cost basis
Strategy reported an average purchase price of $79,012 per bitcoin for the latest transaction. After the addition, the company said its aggregate bitcoin investment stood at about $64.16 billion, including fees and expenses.
Across all purchases to date, Strategy said its average acquisition cost was $75,456 per BTC. The filing leaves the company holding what it describes as the largest bitcoin treasury among publicly traded corporations.
Stock sales also funded preferred-share repurchases
The Nov. 9 disclosure shows that bitcoin buying was only one use of the proceeds from recent MSTR share sales. Strategy also spent $188.3 million to repurchase 1,887,464 shares of its Variable Rate Series A Perpetual Stretch Preferred Stock, or STRC.
According to the filing, those repurchases were likewise financed through common-stock sales. After the transactions, about $560.3 million remained available under the company’s preferred securities repurchase program.
Liquidity position and securities activity
Strategy also reported $4.77 billion in a designated dollar reserve and another $146.2 million in separate cash holdings. During the reporting period, $21.1 million from the reserve was used to fund dividends on the preferred stock.
The company’s STRC shares, which are intended to trade near their $100 stated value, closed at about $99.84 on Friday, Nov. 6, according to the disclosure. MSTR, Strategy’s common stock, closed the same day at approximately $128.93.
Treasury strategy continues after prior November buy
Strategy began buying bitcoin in August 2020, when it announced an initial purchase of 21,454 BTC for about $250 million. Since then, its treasury approach has expanded to include funding tools such as common equity, convertible debt and preferred securities.
The latest purchase follows another acquisition of 811 BTC that the company announced on Nov. 2. That sequence indicates Strategy is continuing to add to its holdings even as the source article described recent weakness in bitcoin’s market price.
The next confirmed reference point for the market is Strategy’s own public reporting. For now, the Nov. 9 filing sets out the company’s updated bitcoin total, the financing used to support the latest purchase, and the parallel use of capital for preferred-share repurchases and dividend obligations.
Source: news.bitcoin.com