Shares of MicroStrategy (MSTR) surged 5% in the pre-market trading session on Monday, riding a wave of optimism fueled by Bitcoin's recent rally and the company's aggressive strategy to invest in the cryptocurrency.
MicroStrategy, a software company led by Bitcoin evangelist Michael Saylor, has made a bold bet on Bitcoin, accumulating a staggering 331,200 bitcoins as of November 2024. This strategic move has paid off handsomely, with the company's stock skyrocketing nearly 97% in the last month alone, fueled by Bitcoin's appreciation and MicroStrategy's successful fundraising efforts to acquire more digital assets.
The company has leveraged its surging stock price to raise funds through equity offerings and debt issuances, including a recent $3 billion convertible bond with a 0% interest rate, to further boost its Bitcoin holdings. Analysts expect MicroStrategy to reveal new Bitcoin purchases using the proceeds from this bond offering in the coming days.
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