{"id":16166,"date":"2021-06-08T21:21:42","date_gmt":"2021-06-08T21:21:42","guid":{"rendered":"http:\/\/ci028529b6a0002663"},"modified":"2025-10-02T10:06:44","modified_gmt":"2025-10-02T15:06:44","slug":"microstrategy-boosts-note-offering","status":"publish","type":"post","link":"https:\/\/bitcoinmagazine.com\/business\/microstrategy-boosts-note-offering","title":{"rendered":"Report: MicroStrategy Boosts Latest Note Offering To $500 Million, After Receiving $1.6 Billion In Orders"},"content":{"rendered":"<div id=\"bsf_rt_marker\"><\/div><p>Software intelligence firm MicroStrategy has reportedly raised its <a href=\"https:\/\/bitcoinmagazine.com\/business\/microstrategy-macrostrategy-bitcoin-arm\">latest note offering<\/a> from $400 million to $500 million, bearing an interest rate of 6.125%, which will fund more bitcoin purchases by the company, according to a recent report by <em>Yahoo Finance<\/em>. <\/p>\n<p>MicroStrategy released an <a href=\"https:\/\/www.microstrategy.com\/en\/investor-relations\/press\/microstrategy-announces-pricing-of-offering-of-senior-secured-notes_06-08-2021\" target=\"_blank\" rel=\"noopener\">announcement<\/a> on the pricing update.<\/p>\n<p>The company received a large number of orders totaling $1.6 billion from hedge funds, according to <em>Yahoo Finance<\/em>, prompting the company to increase the note sale from $400 to $500 million. The significant amount of interest for MicroStrategy\u2019s recent junk bond sale comes as the price of bitcoin has <a href=\"https:\/\/bitbo.io\/\" target=\"_blank\" rel=\"noopener\">decreased by more than 40% over the last month.<\/a> <\/p>\n<p>Recent mainstream news narratives have apparently hampered bitcoin&#8217;s price movements, yet institutional investors seem unbothered, as bids for notes from MicroStrategy, a company that holds 92,079 BTC in its corporate treasury, have been massively oversubscribed. <\/p>\n<p>It is important to note that, though the company received a total of $1.6 billion in interest, this does not mean that the company will sell $1.6 billion in bonds to buy bitcoin, as CEO Michael Saylor and company may see the annual debt service at that amount as unserviceable. <\/p>\n<p>The company predicts that after deducting purchaser discounts and commissions, as well as other expenses, the net proceeds will be <a href=\"https:\/\/www.microstrategy.com\/en\/investor-relations\/press\/microstrategy-announces-pricing-of-offering-of-senior-secured-notes_06-08-2021\" target=\"_blank\" rel=\"noopener\">$488 million.<\/a> The recent move comes after the company recently announced the launch of MacroStrategy, a new subsidiary that will manage its bitcoin holdings.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>MicroStrategy has raised its latest note offering, meant to fund additional bitcoin purchases, after receiving major interest.<\/p>\n","protected":false},"author":2662,"featured_media":5506,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[186],"class_list":{"0":"post-16166","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-business","8":"tag-microstrategy"},"author_data":{"id":2662,"name":"Tyler Laroche","nicename":"tyler-laroche","avatar_url":"https:\/\/bitcoinmagazine.com\/wp-content\/uploads\/2024\/12\/image-5-2-96x96.png"},"featured_image_url":"https:\/\/bitcoinmagazine.com\/wp-content\/uploads\/2024\/11\/michael-saylor.png","_links":{"self":[{"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/posts\/16166","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/users\/2662"}],"replies":[{"embeddable":true,"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/comments?post=16166"}],"version-history":[{"count":0,"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/posts\/16166\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/media\/5506"}],"wp:attachment":[{"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/media?parent=16166"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/categories?post=16166"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/tags?post=16166"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}