Michael Saylor's MicroStrategy Closes $3B Zero-Interest Convertible Debt Deal to Increase Bitcoin Holdings

Nov 23, 2024, 03:44 PM

MicroStrategy has closed a $3 billion convertible debt deal, which carries zero interest and matures in 2029. The deal includes convertible notes with a 55% premium, allowing conversion into MicroStrategy's stock at $672 per share. This move, led by Michael Saylor, is aimed at increasing their Bitcoin holdings, with the company currently holding 331,200 BTC valued at over $30 billion. Investors are attracted to the five-year deal despite the lack of yield, betting on the premium conversion rate tied to MicroStrategy's rising stock price.