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On June 28, analytics firm MicroStrategy announced a corporate purchase of 12,333 Bitcoin (BTC) worth $347 million at press time. After the deal, the total balance of Bitcoin held by MicroStrategy increased to 152,333 ($4.52 billion) at an average purchase price of $29,668 apiece.
The overall average purchase price is close to the purchase price of $28,136 a piece listed in today’s announcements. The coins were purchased between April 27 and June 27. The purchase was partly financed by issuing new shares, the company wrote:
“On May 1, 2023, MicroStrategy has entered into a sale and purchase agreement with Cowen and Company, LLC and Canaccord Genuity LLC, acting as trading agents, under which MicroStrategy may issue and sell its Class A common stock with a par value of $0.001 per share ( “Shares”), the aggregate offering price of which from time to time through the Agents is up to $625.0 million.”
As of June 28, MicroStrategy issued and sold a total of 1,079,170 shares under the agreement for a total net proceeds of $337 million. Cointelegraph previously reported on April 5 that Microstrategy added 1,045 BTC ($29.3 million) to its balance. The company is led by CEO Michael Saylor, who has been an ardent supporter of Bitcoin and has spearheaded corporate efforts to adopt the world’s largest cryptocurrency by market capitalization as a strategic asset.
MicroStrategy has been actively buying Bitcoin using cash and stock financing during the cryptocurrency bear market, sometimes regardless of its current price. In the first quarter of 2023, the company reported its first profitable quarter since 2020 thanks to a one-time income tax relief.
— CZ Binance (@cz_binance) June 28, 2023