Strive (ASST), a publicly traded bitcoin treasury and asset-management firm, announced it has organized a $500 million at-the-market offering (ATM) for its Variable Rate Series A Perpetual Preferred Stock (SATA) aimed at financing additional purchases of the top cryptocurrency.
SATA offers a 12% dividend with an effective yield close to 13%, and is specifically designed after Strategy’s (MSTR) STRC money market-style perpetual preferred equity. Currently, SATA is trading at approximately $91, below its $100 par value. An at-the-market offering allows a firm to rapidly raise capital by selling newly issued stock near prevailing market prices.
Funds raised may be employed to acquire bitcoin, buy income-generating assets, support working capital, repurchase common shares, or pursue acquisitions, the company stated on Tuesday. Strive, which possesses around 7,525 bitcoin and is currently in the process of acquiring Semler Scientific (SMLR), is recognized as the 14th-largest publicly listed bitcoin company.
Strive’s common stock, ASST, is trading near $1 and has decreased by about 2% in pre-market activity.
