Strive (NASDAQ: ASST) has boosted its preferred stock offering to a stated value of USD 700 million as the Bitcoin treasury firm gathers fresh capital for prospective BTC acquisitions.
The enterprise announced on October 15 that it priced 7 million shares of its 15% Series A Perpetual SATS Preferred Stock at USD 90 per share. This sale anticipates generating USD 630 million prior to fees, with the closing slated for October 20, pending customary conditions.
Strive Expands SATS Preferred Stock Offering by 40%
Initially, Strive intended to offer 5 million SATS preferred shares before augmenting the sizing with an additional 2 million. This growth elevated the overall share count by 40%, pushing the offering’s stated value to USD 700 million.
Every preferred share carries a stated value of USD 100 while pricing at USD 90. As a result, Strive anticipates USD 630 million in gross proceeds rather than the full USD 700 million in cash. The ultimate total will decrease further following underwriting costs, commissions, and related expenses.
Barclays and Cantor function as joint book-running managers, while Clear Street acts as the lead manager. This offering establishes a brand-new class of preferred shares, whereas Strive’s current common stock is listed on Nasdaq under the ticker ASST.
Strive Plans More Bitcoin Purchases with IPO Proceeds
Strive plans to allocate a portion of the proceeds toward acquiring Bitcoin and Bitcoin-related investment vehicles. Additional designated uses involve working capital, income-producing assets, and general corporate expenditures.
Furthermore, the organization might buy back Class A common shares or its existing SATA preferred stock. It could also fund takeovers of enterprises, assets, or technologies that align with its operations.
Even so, Strive has not detailed the exact allocation earmarked for Bitcoin acquisitions or the timing of those trades.
Historically, the firm leveraged its SATA preferred stock financing initiative to back Bitcoin accumulation. Contrary to SATA, which features a variable dividend yield, SATS delivers a fixed annual percentage.
Strive Bitcoin Holdings Reach 35,595 BTC
Strive presently maintains roughly 35,595 BTC on the heels of two fresh acquisitions totaling 6,133 Bitcoin.
The firm divulged on October 13 that it secured 3,311 BTC at a mean price of USD 84,500 per coin, fees included. This expansion of the Bitcoin treasury to 32,773 BTC came after purchases executed from October 5 through 9.
One day afterward, Strive reported another acquisition of 2,822 BTC at a mean price of USD 83,266. This purchase totaled near USD 235 million and lifted its total reserves to 35,595 BTC.
Prior to this, Strive grew its treasury via the purchase of Semler Scientific, incorporating thousands of Bitcoin into its holdings.
SATS Preferred Shares Carry 15% Annual Dividends
The fresh SATS preferred shares grant a cumulative yearly dividend of 15% based on their USD 100 stated value. This translates to USD 15 per share annually, amounting to about 16.7% of the USD 90 offering price assuming complete payout.
Nonetheless, dispensing dividends mandates board authorization alongside legally accessible capital. Standard distribution dates are set to launch on November 9, 2026, taking place every business day.
Additionally, Strive intends to boost its dividend reserve upon closing by allocating USD 22.50 for each issued share. This reserve accounts for 18 months of dividend distributions and will utilize current cash and securities.
These shares start with a USD 100 liquidation preference, subject to modifications under defined market situations. Investors may also demand that Strive buy back their shares subsequent to specific corporate events.
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