MicroStrategy Shareholders Approve Michael Saylor's Plan to Increase Shares 30-Fold to Fund Bitcoin Purchases

About 56% of votes were cast in favor of increasing the shares from the current 330 million to 10.33 billion, Bloomberg reported

MicroStrategy (NASDAQ:MSTR) shareholders on Tuesday approved proposals from the company to increase the number of authorized Class A shares by 30 times and authorized preferred stock by 201 times to support future Bitcoin (CRYPTO: BTC) acquisitions.

authorized shares: About 56% of votes were cast in favor of increasing the Class A shares from the current 330 million to 10.33 billion, according to Bloomberg, which cited a recording of the meeting.

Investors also approved a proposal to increase the number of authorized shares of preferred stock from 5 million to 1.005 billion.

The proposals were put forward by MicroStrategy co-founder and Executive Chairman Michael Saylor, who controls 47% of the voting power in the company.

The proposals are part of a broader plan to raise capital for MicroStrategy’s 21/21 initiative, which aims to raise $21 billion in equity financing and $21 billion in fixed-income securities to fund Bitcoin purchases.

As of March 1, the company had $5.42 billion remaining under its equity offerings plan.

MicroStrategy has spearheaded corporate Bitcoin adoption and now holds 461,000 BTC, valued at $48.67 billion, following a fresh purchase of 11,000 BTC on Tuesday.

The company’s unrealized Bitcoin gains stood at nearly 66%, according to BitcoinTresuries.net.

Bitcoin price action: At the time of writing, BTC was trading up 4.04% over 24 hours at $105,605.91, according to Benzinga Pro.

MSTR Price Target: Shares of MicroStrategy closed down 1.87% during Tuesday's regular trading session at $389.10.

The stock has a consensus price target of $449.5 based on 12 analyst ratings, with an average price target of $546.67 from Bernstein, TD Cowen, and Barclays.