MicroStrategy stock rises after announcing $4.2 billion ATM program

Published 31/07/2025, 21:36
© Shutterstock

Investing.com -- MicroStrategy (NASDAQ:MSTR) stock rose 2% in after-hours trading on Thursday following the company’s announcement of a new at-the-market (ATM) offering program worth up to $4.2 billion.

The business intelligence firm, which has become known for its significant bitcoin holdings, plans to sell shares of its Variable Rate Series A Perpetual Stretch Preferred Stock (STRC Stock) over an extended period. The company stated it will take a "disciplined manner" to these sales, considering trading price and volumes at the time of sale.

According to the announcement, MicroStrategy intends to use the net proceeds from the ATM program for general corporate purposes, including bitcoin acquisitions and working capital. The company may also allocate funds toward cash dividends on outstanding preferred shares, excluding the STRC Stock.

The sales will be conducted through methods defined as "at the market offerings" under SEC Rule 415(a)(4), which may include negotiated transactions or block trades. The offering is being made pursuant to a prospectus supplement filed with the SEC on July 31, 2025, under an existing shelf registration statement that became effective earlier this year.

MicroStrategy has transformed its business strategy in recent years, becoming one of the largest corporate holders of bitcoin. This latest financing initiative appears to continue the company’s focus on building its cryptocurrency position while maintaining operational flexibility.

The stock trades under multiple tickers on the Nasdaq exchange, including MSTR, STRK, STRF, STRD, and STRC.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.