Strive (ASST), a publicly traded bitcoin treasury and asset management company, said it has arranged a $500 million at-the-market offering (ATM) for its Series A Floating Rate Perpetual Preferred Stock (SATA) to help fund further purchases of the largest cryptocurrency.
SATA pays a 12% dividend with an effective yield close to 13%, and the stock is intentionally modeled after Strategy’s STRC money market-style perpetual preferred stock (MSTR). SATA is currently trading around $91, below its par value of $100. An at-market offering allows a company to raise cash quickly by selling new shares at a price close to the current market price.
Proceeds can be used to acquire bitcoin, purchase income-generating assets, support working capital, repurchase common stock or pursue acquisitions, the company announced Tuesday. Strive, which holds approximately 7,525 bitcoins and is in the process of purchasing Semler Scientific (SMLR), ranks 14th among publicly traded bitcoin companies.
Strive’s common stock, ASST, is trading near $1 and is down about 2% from premarket activity.
