MicroStrategy acquires another 55,500 bitcoin for $5.4 billion, taking holdings to 386,700 BTC

Business intelligence firm and corporate bitcoin holder MicroStrategy acquired an additional 55,500 BTC for approximately $5.4 billion at an average price of $97,862 per bitcoin between Nov. 18 and Nov. 24, according to an 8-K filing with the Securities and Exchange Commission on Monday.

It represents the company's largest set of acquisitions to date and follows the completion of a $3 billion debt offering on Nov. 21, with net proceeds of $2.97 billion, and the sale of a further 5,597,849 MicroStrategy shares between Nov. 18 and Nov. 24 for approximately $2.46 billion. As of Nov. 24, the company said approximately $12.8 billion worth of shares remained available for sale as part of its planned $21 billion equity offering and $21 billion in fixed-income securities, targeting a total $42 billion capital raise over the next three years for further bitcoin acquisitions.

The company now holds 386,700 BTC, worth over $37 billion. MicroStrategy’s total holdings were bought at an average price of $56,761 per bitcoin, a total cost of around $21.9 billion, including fees and expenses, according to the company's co-founder and executive chairman, Michael Saylor.

MicroStrategy's latest announcement is the third week in a row following news last Monday that it had acquired approximately 51,780 BTC for roughly $4.6 billion in cash at an average estimated price of $88,627 per coin, including fees and expenses, and $2 billion worth of bitcoin the week before.

MicroStrategy uses a key performance indicator it calls “Bitcoin Yield” to measure the percentage change in its bitcoin holdings relative to its diluted shares. As of Nov. 24, the firm’s year-to-date Bitcoin Yield is 59.3%, reflecting significant growth in holdings while balancing share dilution amid the company’s strategy of acquiring bitcoin efficiently to benefit shareholders.

Earlier on Monday, analysts at research and brokerage firm Bernstein said they anticipated MicroStrategy acquiring 4% of bitcoin's circulating supply over the next decade. If achieved, MicroStrategy would hold approximately 830,000 BTC, or $830 billion worth of the cryptocurrency at a price of $1 million per bitcoin, by the end of 2033, they said.