Strategy launches its fourth preferred stock product Stretch, raising funds to increase holdings of Bitcoin

According to The Block, Strategy (formerly MicroStrategy, stock code MSTR) announced on Monday the launch of its fourth preferred stock product, Stretch (STRC). The perpetual preferred stock plan is to issue 5 million shares with a face value of $100 per share, with an initial annualized dividend yield of 9%, paid monthly. The company plans to use the raised funds for business operations and to increase its holdings of Bitcoin. Earlier that day, Strategy announced the purchase of 6220 new bitcoins for $739.8 million, bringing its total holdings to over 607700. The STRC stock launched this time adopts a floating dividend yield, forming a product matrix with the previously issued fixed rate preferred stocks STRK (8%), STRF (10%), and STRD (10%). These projects are a supplement to its "42/42" plan, which aims to raise a total of $84 billion through stock issuance and convertible notes for Bitcoin acquisitions by 2027.