Strategy Secures $2B From MSTR Sales, Builds New USD Cash Reserve

Strategy raised about $2 billion last week by selling 18.26 million shares of its common stock, according to a filing released Monday.
The Bitcoin treasury company allocated $300 million of the proceeds to its USD Reserve and spent another $136.4 million buying back 1.43 million shares of its variable-rate preferred stock, STRC.
The remaining funds were placed into a newly created liquidity pool called “USD Cash,” giving Strategy an additional source of readily available capital.
As of Aug. 23, Strategy held $5.1 billion in its USD Reserve and another $1.59 billion in USD Cash, bringing its combined dollar liquidity to approximately $6.69 billion.
The USD Reserve is earmarked for preferred-stock dividends and interest payments on the company’s outstanding debt.
Unlike the restricted reserve, the new USD Cash pool can be deployed more broadly. Strategy can use it to purchase Bitcoin, buy back MSTR or preferred shares, repay convertible debt, replenish the USD Reserve or fund other corporate needs.
Strategy said the expanded liquidity gives management more room to act quickly when market conditions change, including during dislocations involving Bitcoin or the company’s securities.
The company made no Bitcoin purchases or sales during the week ending Aug. 23, keeping its holdings unchanged at 840,447 BTC, worth about $65.6 billion, for a second straight week.
Strategy acquired its Bitcoin holdings for approximately $63.36 billion at an average cost of $75,385 per BTC, including fees and expenses.
The company has now repurchased about $483.4 million worth of preferred stock under its $1 billion Digital Credit Securities Repurchase Program, leaving roughly $516.6 million still available.
Strategy’s separate $1 billion authorization to repurchase MSTR common shares remains unused.
MSTR was up about 1.2% in Monday’s premarket trading at nearly $121, while STRC traded around $96.49. Bitcoin was above $78,000.