Strategy Engages in $4.2 Billion Preferred Equity Offering

Deal News | Aug 01, 2025 | Wilmer Cutler Pickering Hale and Dorr LLP

Strategy Engages in $4.2 Billion Preferred Equity Offering

MicroStrategy Incorporated, operating under the name Strategy, has initiated an at-the-market equity offering program with the potential to issue and sell shares valued up to $4.2 billion. The equity will consist of Variable Rate Series A Perpetual Stretch Preferred Stock. The purpose of this offering is to support general corporate needs, particularly in acquiring more bitcoin and maintaining working capital. Cash dividends on other outstanding preferred stocks might also be funded through the proceeds. These transactions will be executed by designated sales agents under a contract starting July 31, 2025. Legal advisory for this transaction was provided by Wilmer Cutler Pickering Hale and Dorr LLP.

Sectors

  • Finance
  • Cryptocurrency
  • Legal Services

Geography

  • United States – MicroStrategy, and its operations, along with WilmerHale's advisory services, are based in the United States.

Industry

  • Finance – The article discusses an equity offering program, which is a financial transaction within the corporate finance industry.
  • Cryptocurrency – As a Bitcoin Treasury Company, Strategy is involved in the cryptocurrency industry, intending to use proceeds to acquire more bitcoin.
  • Legal Services – WilmerHale's role as a legal advisor highlights the involvement of legal services in structuring and advising on the equity offering.

Financials

  • 4.2 Billion – Aggregate offering price for Strategy's at-the-market Variable Rate Preferred Equity Program.

Participants

NameRoleTypeDescription
MicroStrategy IncorporatedTarget CompanyCompanyMicroStrategy, operating as Strategy, is conducting the equity offering to increase its bitcoin holdings and for corporate purposes.
Wilmer Cutler Pickering Hale and Dorr LLPLegal AdvisorCompanyWilmerHale is serving as legal counsel for Strategy in the $4.2 billion equity offering.
Sales AgentsSales AdministratorOtherSales agents will manage the execution of the equity offering program as per the sales agreement.