Bitcoin treasury company Strive proposes $500M IPO of preferred shares to fund additional BTC purchases, following recent $208M in warrant exercises.
Macro & Markets ·
Strive announced a proposed initial public offering of 5 million shares of Series A Perpetual Preferred Stock at $100 per share, targeting $500 million in gross proceeds. The offering follows warrant exercises that generated $208 million. The company intends to deploy capital primarily toward acquiring bitcoin and bitcoin-related products, along with potential share repurchases and working capital needs.
The new SATS preferred shares will carry a 15% annual cumulative dividend, with regular payment dates beginning November 9, 2026. Strive plans to establish an 18-month dividend reserve funded from existing cash and securities holdings. The shares include redemption rights allowing the company to repurchase all outstanding SATS stock if total shares fall below 25% of the originally issued amount or upon certain tax events. Holders also retain repurchase rights in the event of a fundamental change.
Strive's bitcoin holdings increased over 11% during the week preceding the announcement. The proposed offering remains subject to market conditions and regulatory approval. Key details on pricing timing, underwriter selection, and final terms have not yet been disclosed.