MicroStrategy Announces Pricing of Convertible Senior Notes with Total Principal of $875 million

MicroStrategy today announced the pricing of its issuance of 0.625% Convertible Senior Notes ("Notes") with a total principal amount of $875 million due 2028. The Notes will be sold on a private placement basis to persons reasonably considered to be Qualified Institutional Buyers under Section 144A of the Securities Act of 1933, as amended (the "Securities Act"). MicroStrategy also grants initial purchasers of the Notes an option to purchase the Notes within 13 days of the date of the Notes' initial offering, up to an additional aggregate principal amount of $135 million. The offering represents an expansion from the previously announced $700 million total principal note offering.
The offering is expected to close on September 19, 2024, subject to customary closing conditions. The Notes will be MicroStrategy's unsecured senior debt at an annual interest rate of 0.625%, payable in semi-annual installments on March 15 and September 15 each year, effective March 15, 2025. The Notes will mature on September 15, 2028, unless repurchased, redeemed or converted earlier in accordance with their terms.