Strategy, the business intelligence firm helmed by Michael Saylor, announced Friday it is expecting to raise approximately $711 million in net proceeds via a ‘Series A Perpetual Strife Preferred Stock’ (STRF) offering

Strategy, the business intelligence firm helmed by Michael Saylor, announced Friday it is expecting to raise approximately $711 million in net proceeds via a ‘Series A Perpetual Strife Preferred Stock’ (STRF) offering, aiming to expand its Bitcoin reserves, which are approaching 500,000 BTC. Due to increased demand, Strategy has upped its offering from 5 million to 8.5 million shares, now priced at $85 per share. The preferred stock will accumulate cumulative dividends at a fixed rate of 10.00% per annum in the stated amount of $100 per share.

Strategy, the business intelligence firm headed by Michael Saylor, is planning to raise about $711 million in net proceeds from a Series A Perpetual Strife Preferred Stock offering (NYSE:STRF) to further increase its Bitcoin holdings, which are nearing the 500,000 BTC milestone.

The company has also announced an adjustment to its offering, with the intent to sell 8.5 million shares of preferred stock at a price of $85 per share, up from its previous plan of 5 million shares.

The preferred stock will accrue cumulative dividends at a fixed rate of 10.00% per annum on the stated amount of $100 per share.

As previously disclosed, Morgan Stanley, Barclays Capital, Citigroup Global Markets, and Moelis & Company are serving as joint book-running managers for the offering. AmeriVet Securities, Bancroft Capital, BTIG, and The Benchmark Company are acting as co-managers, according to the announcement.

The initial liquidation preference will be $100.00 per share, subject to adjustment on each business day following the adjustment date. The adjustments will be based on various factors, including the stated amount and the recent trading prices of the shares.

The company will have the right to redeem all shares at times and rates disclosed in the prospectus. Additionally, shares will be subject to cancellation in the event of the outstanding amount falling below 25% of the total shares originally issued, or in case of certain tax events.

Holders of the preferred stock will also have the right to require the company to purchase shares from them in the event of a fundamental change, which includes a merger, consolidation, or reorganization. Alternatively, they can elect to have their shares exchanged for shares in the surviving corporation.

This stock offering is a crucial part of Strategy’s 21/21 plan. The plan aims to raise $42 billion over three years—$21 billion from equity and $21 billion from fixed-income securities—in order to fund the expansion of Strategy’s Bitcoin reserves.