Strategy raises about $2 billion through MSTR share sales, launches new "USD Cash" liquidity pool

Strategy (MSTR) raised roughly $2 billion last week by selling 18.26 million shares of common stock, according to a Monday regulatory filing. The bitcoin treasury firm set aside $300 million of the proceeds for its USD Reserve and spent $136.4 million to repurchase 1.43 million shares of its variable-rate preferred stock, STRC. The remaining funds were placed into a newly created liquidity pool, "USD Cash." As of Aug. 23, Strategy held $5.1 billion in its USD Reserve and $1.59 billion in USD Cash, bringing total dollar liquidity to $6.69 billion. The company said the USD Reserve remains earmarked to support dividend payments on its preferred stock and interest payments on outstanding debt. The new USD Cash pool is intended to add flexibility, with potential uses including buying bitcoin, repurchasing MSTR common or preferred shares, repaying convertible notes, adding to the USD Reserve, or other corporate purposes. Strategy said the structure should allow management to react faster to changing market conditions, including dislocations in bitcoin or the company's securities. Strategy reported no bitcoin purchases or sales during the week ended Aug. 23, keeping holdings unchanged for a second straight week at 840,447 BTC, valued at $65.6 billion. The company said the position was acquired for $63.36 billion at an average price of $75,385 per bitcoin, including fees and expenses. Under its $1 billion Digital Credit Securities Repurchase Program, Strategy has repurchased about $483.4 million of preferred stock, leaving $516.6 million available. A separate $1 billion authorization to repurchase MSTR common stock remains unused. In Monday premarket trading, MSTR was up about 1.2% to near $121, while STRC traded at $96.49. Bitcoin was trading above $78,000.