Business intelligence firm and corporate bitcoin holder MicroStrategy acquired an additional 11,000 BTC for approximately $1.1 billion at an average price of $101,191 per bitcoin between Jan. 13 and Jan. 20, according to an 8-K filing with the Securities and Exchange Commission on Tuesday.
It follows the sale of a further 3,012,072 MicroStrategy shares during the same period for the same amount. As of Jan. 20, the company said approximately $5.42 billion worth of shares remained available for sale as part of its planned $21 billion equity offering and $21 billion in fixed-income securities capital raise, targeting a total $42 billion for bitcoin acquisitions.
Earlier this month, the company expanded that 21/21 plan, announcing a potential $2 billion preferred stock offering. By turning to perpetual preferred stock, MicroStrategy could attract institutional investors such as insurance companies, pension funds and banks, according to Benchmark equity analyst Mark Palmer.
The company now holds 461,000 BTC, worth over $48 billion. MicroStrategy’s total holdings were bought at an average price of $63,610 per bitcoin, a total cost of around $29.3 billion, including fees and expenses, according to the company's co-founder and executive chairman, Michael Saylor. To put that in perspective, MicroStrategy holds more than 2% of bitcoin’s total 21 million supply.
MicroStrategy's latest announcement is now the eleventh week in a row following news last Monday that it had acquired another 2,530 BTC for roughly $243 million in cash at an average estimated price of $95,972 per coin, and $101 million worth of bitcoin the week before. Saylor shared an update on MicroStrategy’s bitcoin purchase tracker on Sunday, signaling the likelihood for another bitcoin acquisition filing, though it was delayed from the normal Monday announcement amid President Trump's inauguration on Martin Luther King Jr. Day.
MicroStrategy has acquired around $19 billion worth of bitcoin over the past few months alone, and its $97.7 billion market cap trades at a significant premium to its bitcoin net asset value, with some investors airing reservations about the firm's premium to NAV valuation and its equity and debt-funded bitcoin acquisition program in general.
MicroStrategy shares closed up 8% at $396.50 on Friday, having gained more than 693% over the past year, according to TradingView. U.S. markets are closed on Monday for Martin Luther King Jr. Day.
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