Strategy Buys Back $635.2 Million of STRC as Shares Trade Below Par

Strategy has spent a cumulative $635.2 million repurchasing its STRC perpetual preferred stock, including a latest $151.8 million buyback at an average price of $97.48. According to ChainCatcher, STRC was still trading at $97.34, below its $100 par value, even after the company’s $1 billion repurchase authorization helped lift it from about $71 to around $97. The article said STRC has faced pressure from competition with Strive’s ASST perpetual preferred stock. ASST offers a 13% annual dividend paid daily, while STRC pays a 12% dividend twice a month. ASST has stayed near its $100 par value for more than a week, allowing Strive to issue shares through an at-the-market program and use the proceeds to buy 1,800 bitcoin over the past week. The two companies’ common shares have also diverged, with ASST up 60% year to date and MSTR down 15%. Strategy also bought bitcoin for the first time in two months last week, purchasing 4,603 bitcoin at an average price of about $80,000, bringing its total holdings to 845,050 bitcoin.