MicroStrategy's Potential Stock Increase To Fund Bitcoin Purchases

According to PANews, MicroStrategy Inc., led by Michael Saylor, is poised to significantly increase its common stock to fund large-scale Bitcoin acquisitions. Analysts predict that during the shareholder vote on January 21, the company will likely approve a proposal to raise the authorized Class A common stock from 330 million to 10.3 billion shares. Saylor holds approximately 47% of the voting power, which could result in MicroStrategy's outstanding shares surpassing most companies in the Nasdaq 100, except for Nvidia, Apple, Alphabet, and Amazon. Additionally, shareholders are expected to approve an amendment to increase authorized preferred shares from 5 million to 1 billion. Michael Lebowitz, a portfolio manager at RIA Advisors, noted that while stock issuance is common, MicroStrategy's plan to significantly increase its stock in one move is unique. For the amendment to pass, it requires approval from the majority of voting rights holders of all outstanding common shares. The shareholder meeting is scheduled for January 21 at 10 a.m. UTC-5 in New York.