Strive Prices SATA Permanent Preferred Stock IPO at $80, Expands Offering to 2 Million Shares

Strive upsized its preferred stock IPO to raise $160 million, pledging funds toward Bitcoin investments and corporate growth while offering a 12% initial annual dividend.

BTC

Summary

Strive (NASDAQ: ASST) announced an upsized IPO of its Variable Rate Series A perpetual preferred stock (SATA) to 2 million shares priced at $80 each, raising approximately $160 million in gross proceeds. The offering, closing on Nov. 10, carries a 12% initial annual dividend on a $100 stated amount, payable monthly starting Dec. 15. Dividend rates can adjust under specified conditions tied to the one-month SOFR, with missed payments compounding at rates up to 20% per annum. The Dallas-based firm will reserve 12 months of dividend payments and may redeem shares under certain circumstances. Net proceeds will support general corporate purposes, including Bitcoin and related investments, working capital, and possible acquisitions. Strive holds 5,958 BTC, ranking 17th among publicly traded corporations in Bitcoin holdings. ASST’s common stock rose 17% Wednesday and an additional 8% pre-market Thursday to $1.58.

Terms & Concepts
  • Variable Rate Preferred Stock: A type of preferred stock where dividend rates can change based on a benchmark interest rate or other specified conditions.
  • SOFR (Secured Overnight Financing Rate): A benchmark interest rate for dollar-denominated loans and securities, based on transactions in the U.S. Treasury repurchase market.
  • Bitcoin Holdings: The quantity of Bitcoin owned by an individual or institution, often disclosed for transparency and valuation purposes.