MicroStrategy Schedules Shareholder Meeting to Discuss Expanding Its Equity-Issuance Plan and Increasing Its Bitcoin Holdings

Business intelligence and software company MicroStrategy has scheduled a special shareholder meeting to discuss expanding its equity-issuance plan and increasing its Bitcoin

Business intelligence and software company MicroStrategy (NASDAQ: MSTR) has filed with the U.S. Securities and Exchange Commission (SEC) to hold a special shareholder meeting to discuss expanding its equity-issuance plan and increasing its Bitcoin (CRYPTO: BTC) holdings.

The proposals will be put to a vote at the meeting, which will be held virtually on March 14, 2024, at 10 a.m. Eastern Daylight Time.

The first proposal aims to increase the authorized Class A common stock from 330 million shares to 10.33 billion shares. The second proposal seeks to raise the authorized preferred stock from 5 million shares to more than 1 billion shares.

The proposals are being made to support further implementation of MicroStrategy's 21/21 Plan and future capital markets activity.

“Proposals 1 and 2 for this Special Meeting request an increase in the authorized shares of the capital stock of the Company to support further implementation of our 21/21 Plan and future capital markets activity more generally as well as other corporate purposes,” the filing said.

MicroStrategy shareholders will also vote on a proposal to grant automatic equity awards to new members of the company's Board of Directors upon their appointment.

Shareholders will vote on whether to approve or reject proposals to adjourn the Special Meeting, if necessary, to gather additional proxies if the vote threshold is not met for any proposals.

“The proposals we are asking you to consider reflect a new chapter in our evolution as a Bitcoin Treasury Company and our ambitious goals for the future,” said executive chairman Michael Saylor.

MicroStrategy has made headlines recently for its large-scale Bitcoin acquisitions. In December alone, the company purchased 42,162 BTC, which totals over $4 billion at current market prices.

In late October, MicroStrategy disclosed a Bitcoin yield of 17.8%, with plans to achieve a more moderate annual yield of 6% to 10% from 2025 to 2027.

Since then, the company has secured $13 billion through stock sales and raised $3 billion through convertible bonds.

MicroStrategy's aggressive Bitcoin strategy has played a key role in its addition to the Nasdaq 100, a significant achievement for the business intelligence firm.

In 2024, MicroStrategy's bold Bitcoin strategy paid off significantly when the company was added to the prestigious Nasdaq 100. Its stock surged more than 422% year-to-date.

The move was largely driven by the company's ability to generate substantial market value, primarily through its vast Bitcoin holdings. This is in addition to a strong performance in its core business of software and business intelligence.