Strive plans extra $130M SATS stock sale for more bitcoin purchases

Strive, a firm that holds bitcoin in its treasury, is seeking an extra $130 million beyond the $500 million IPO it previously disclosed, with the funds intended for additional BTC purchases and business expansion.

On Tuesday last week, Strive revealed its intention to raise $500 million via a Series A initial public offering, selling 5 million shares of perpetual preferred stock SATS at a price of $100 apiece.

Since then, Strive has disclosed that it is offering 7 million shares at $90 each, representing an extra $130 million.

In addition to buying more bitcoin, Strive states that the proceeds will go toward BTC-related products, working capital, assets, and other businesses for company growth. The capital will also be allocated to buying Strive's own Class A common stock.

SATs shares carry a 15% fixed-rate cumulative dividend, which stays at 15% of the $100 par value per share.

The offering is set to settle on October 20, 2026. Following that, Strive aims to boost its dividend reserve to cover the first 18 months of SATS dividend payments.

Strive's $6M loss on Strategy stock purchase

Back in March, Strive decided to exchange one-third of its cash, valued at $50 million, for shares in Strategy, the bitcoin-focused firm led by Michael Saylor.

By July, the unrealized losses from the STRC acquisition had reached $6.3 million.

Nevertheless, Strive's share price has climbed 125% from July levels.

CEO Matt Cole also announced last Wednesday that Strive had spent $235 million to buy 2,822 BTC. The company exercised 273 million traditional warrants to acquire 13.6 million Class A common stock shares, raising $369.2 million.

Through its asset management arm, Strive oversees more than $2.8 billion in assets and currently holds 35,595 BTC, valued at $2.9 billion at current prices.