Strategy eyes semi-monthly dividends for STRC stability

Strategy proposes shifting STRC dividends from monthly to semi-monthly, keeping the 11.5% annual yield, aiming to stabilize price and boost liquidity. Shareholder vote closes June 8.

Strategy has proposed changing the dividend payment schedule for its popular STRC preferred stock from monthly to semi-monthly, while keeping the annual dividend rate steady at 11.5%. The company emphasizes that this adjustment will not alter its overall dividend obligations. According to Strategy, the move aims to stabilize the STRC stock price, reduce cyclicality, enhance liquidity, and boost investor demand. The STRC preferred stock has attracted strong interest, with its outstanding notional value reaching $6.4 billion. Volatility in STRC has already declined significantly, and the company believes that semi-monthly payments could further reduce price fluctuations. Shareholders are scheduled to vote on the proposed amendment, with voting closing on June 8. If approved, the first semi-monthly dividend payment is expected to be distributed on July 15.