Strategy CEO Phong Le announced that the company will issue more perpetual preferred shares, called “Stretch,” to mitigate investor concerns about stock price volatility linked to cryptocurrency market swings. This new product offers an 11.25% monthly reset dividend rate, aimed at stabilizing its price around a $100 face value, and responds to the relatively small role preferred shares currently play in Strategy’s financing, which includes $370 million in common stock and $7 million in preferred shares used for recent Bitcoin purchases.
Strategy to issue new perpetual preferred shares to address stock volatility
