Company Pursues Expansion of Bitcoin Treasury
Strive announced Tuesday a $500 million at-the-market offering of its Variable Rate Series A Perpetual Preferred Stock to fund additional Bitcoin acquisitions. The Nasdaq-listed structured finance company operates a Bitcoin treasury and plans to use proceeds for general corporate purposes alongside increasing its Bitcoin holdings.
The company entered a sales agreement with Cantor Fitzgerald, Barclays, and Clear Street to offer up to $500 million in SATA stock shares. The at-the-market structure provides flexibility to sell shares directly to the market at prevailing prices over time rather than issuing them at a fixed price in one transaction.
Details of the Preferred Stock and Dividend
SATA carries a dividend rate of 12.00% per annum, with the regular dividend period having begun on Nov. 10. Strive retains the right to adjust this rate in future periods based on market conditions.
Building on Successful IPO and Strategic Goals
The program builds on Strive's successful SATA initial public offering, which closed Nov. 10 at $80 per share after upsizing to 2 million shares from an initial target of 1.25 million shares. The stock now trades on the Nasdaq Global Market under the ticker SATA.
Co-founded by entrepreneur and politician Vivek Ramaswamy, Strive describes itself as the first publicly traded asset management Bitcoin treasury company. The firm held 7,525 Bitcoin as of Nov. 7, according to company disclosures.
Strive maintains a long-term objective of increasing BTC-per-share to eventually outperform Bitcoin itself as an investment vehicle. The additional capital from the latest offering will support this strategy through continued Bitcoin accumulation.
Market Performance and Investor Confidence
SATA edged up 0.088% Tuesday, closing markets at $91.15. Strive's Class A common stock ASST closed the day up 3.57% at $1.02, reflecting investor confidence in the company's Bitcoin-focused strategy and growth plans for expanding its digital asset treasury operations.