Strive plans to raise $150M to pay down debt and buy more Bitcoin

6 hours ago

Strive, an plus manager co-founded by erstwhile US statesmanlike campaigner Vivek Ramaswamy successful 2022, plans to rise arsenic overmuch arsenic $150 cardinal done an offering of preferred stock, with proceeds earmarked for indebtedness repayment and Bitcoin purchases.

Strive said it plans to merchantability shares of its Variable Rate Series A Perpetual Preferred Stock, trading nether the ticker SATA, according to a Wednesday announcement.

The institution said the superior raised, alongside existing currency and imaginable proceeds from unwinding hedging transactions, would beryllium utilized to wage down liabilities astatine its wholly owned subsidiary, Semler Scientific. That includes repurchasing a information of Semler’s 4.25% convertible elder notes owed successful 2030, arsenic good arsenic outstanding borrowings nether a maestro indebtedness statement with Coinbase Credit.

Strive said the determination is intended to simplify its equilibrium expanse and instrumentality to a “perpetual-preferred lone amplification model.” Any remaining funds whitethorn beryllium allocated toward acquiring Bitcoin (BTC) and Bitcoin-related products.

Strive plans indebtedness swaps

The Bitcoin treasury institution besides revealed plans to negociate backstage exchanges with definite holders of the Semler convertible notes, allowing them to swap indebtedness for SATA preferred shares. These exchanges would trim the size of the nationalist offering but would not make currency for the company.

The SATA preferred banal carries a starting yearly dividend complaint of 12.25%, paid monthly successful cash, with the complaint adjusting implicit clip based connected marketplace conditions and short-term involvement rates. The preferred shares are perpetual but tin beryllium redeemed astatine Strive’s option, mostly astatine $110 per stock positive immoderate unpaid dividends.

Barclays and Cantor Fitzgerald are acting arsenic associated book-running managers for the offering, with Clear Street serving arsenic co-manager.

Earlier successful January, Strive announced an all-stock woody to acquire Semler Scientific. The institution said it has secured shareholder support for the acquisition, which would adhd Semler Scientific’s 5,048.1 Bitcoin to Strive’s existing treasury. Following the transaction, Strive's full Bitcoin holdings volition summation to 12,797.9 BTC.

In May 2025, Strive announced a $750 million rise to found “alpha-generating” strategies done Bitcoin-related purchases. The institution announced different $500 million banal income programme to rise funds for further BTC purchases successful December.

Crypto treasury firms look challenges successful 2026

Strive’s program comes arsenic integer plus treasury companies are heading into a hard period, with manufacture executives informing that galore companies built during Bitcoin’s rally whitethorn not survive. MoreMarkets CEO Altan Tutar said 2026 could spot wide shutdowns arsenic falling crypto prices and declining stock valuations enactment unit connected concern models that trust mostly connected holding integer assets.

Tutar expects altcoin-focused treasury firms to neglect first, followed by large-cap strategies tied to assets specified arsenic Ethereum (ETH), Solana (SOL) and XRP (XRP). He said the assemblage is overcrowded and incapable to prolong valuations supra nett plus worth without creating further sources of return.

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