Strategy to repurchase $1.5B in notes, may sell Bitcoin

Strategy will repurchase $1.5B in 2029 convertible notes for about $1.38B, funded by cash, equity issuance, and possible Bitcoin sales. Repurchased notes will be canceled after settlement.

Strategy has announced plans to repurchase approximately $1.5 billion in 0% senior convertible notes maturing in 2029. The buyback will occur through private agreements with debt holders. The estimated repurchase price is about $1.38 billion in cash, though the final amount may vary based on the volume-weighted average price of Strategy's Class A shares during a set measurement period. To fund this transaction, the company will use a combination of cash reserves, proceeds from equity issuance programs, and potentially Bitcoin sales. This marks a notable shift in Strategy’s Bitcoin accumulation policy. Settlement is expected around May 19, after which the repurchased notes will be canceled, leaving $1.5 billion in notes outstanding. The buyback is being conducted at a discount to face value and is part of Strategy’s broader liability restructuring efforts.