Strategy establishes $1.44 billion cash reserve, appoints new general counsel

Strategy Inc (MSTR) announced December 1 the establishment of a $1.44 billion cash reserve to support dividend payments on preferred stock and interest on outstanding debt. The reserve was funded through proceeds from the company’s at-the-market stock offering program.

The company stated its intention to maintain a cash reserve sufficient to fund at least 12 months of dividend payments, with a goal of ultimately covering 24 months or more. Strategy noted the reserve amount remains subject to its discretion and may be adjusted based on market conditions and liquidity needs.

During the period from November 17 to November 30, Strategy sold 8.214 million shares of Class A common stock under its at-the-market program, generating net proceeds of $1.478 billion. The company reported $14.375 billion remains available for future stock issuance and sale.

Strategy also disclosed bitcoin purchases of 130 coins during the same period for an aggregate purchase price of $11.7 million, at an average price of $89,960 per bitcoin. As of November 30, the company held 650,000 bitcoin with an aggregate purchase price of $48.38 billion and an average purchase price of $74,436.

The company announced several dividend declarations payable December 31 to shareholders of record as of December 15, including quarterly dividends ranging from $2.00 to $2.50 per share on various preferred stock series.

Strategy appointed Thomas C. Chow as Executive Vice President, General Counsel and Corporate Secretary, effective immediately. Chow brings over 20 years of experience across digital asset, fintech and software companies, previously serving as Chief Legal Officer at Chia Network and Permuto Capital.

Wei-Ming Shao retired from his roles as Executive Vice President, General Counsel and Corporate Secretary, effective December 1. Shao will serve in an advisory role through December 31 to assist with the transition.