Treasury company Bitcoin Strive said it had written off 92% of the debt inherited from its acquisition of Semler Scientific earlier this month and purchased another 334 Bitcoins after the preferred stock offering closed.
On Wednesday, Strive said it had seen $600 million in demand for its Series A floating rate perpetual preferred stock, trading under the ticker “SATA,” and increased its raise target from $150 million to $225 million in response.
An equity offering is a form of long-term equity financing intended to finance Bitcoin (BTC) accumulation without increasing leverage.
Vivek Ramaswamy-backed Strive completed its acquisition of former Bitcoin treasury company Semler Scientific on January 13, after agreeing to the merger in September.
Earlier this month, Strive said it would exploit the capital raised from the equity offering, along with existing cash and potential proceeds from unwinding hedging transactions, to repay liabilities and exploit the remaining funds to purchase Bitcoin and Bitcoin-related products.
On Wednesday, the company confirmed it would exploit the proceeds to retire $110 million, or 92%, of Semler’s inherited debt, including $90 million in SATA convertible notes and full repayment of the $20 million Coinbase credit facility.
Strive added that with the withdrawal of the Coinbase loan, its Bitcoin holdings are now fully unencumbered, and the company plans to pay off the remaining $10 million in debt over the next four months.
Strive is now one of the top 10 corporate Bitcoin treasuries after purchasing 333.9 Bitcoins at an average price of $89,851, bringing its total to 13,132 BTC worth $1.17 billion.
Strive noted that its Bitcoin yield is 21.2% quarter-to-date, which represents the percentage escalate in its Bitcoin exposure per common share over the period.
Strive shares continued to fall on Wednesday
Balance sheet improvement wasn’t enough to keep Strive away from losses on Wednesday, with ASST shares falling 2.23% to $0.80, Google Finance data can be seen.
ASST is currently 92.4% off its high of $10.46 since the Bitcoin strategy was announced, highlighting the volatility and execution risk associated with corporate Bitcoin treasury strategies.
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Bitcoin vault creation has become a popular institutional trend in 2024 and early 2025, although many saw their shares decline in the second half of last year as the sustainability of such strategies was questioned.
More than 190 publicly traded companies have Bitcoin on their balance sheets, with a total holding of approximately 1.134 million Bitcoins – representing approximately 5.4% of the cryptocurrency’s total supply.
Nearly 63% of bitcoin held by corporations is owned by Michael Saylor’s strategy, which continues to make modern bitcoin purchases despite running out of funds in recent months amid the broader cryptocurrency market decline.
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