Strategy conditionally declares daily dividends as STRC hovers below $100
Strategy conditionally declared daily dividends on STRC, which continued to hover below its $100 par value.
Michael Saylor's Strategy, the largest corporate Bitcoin holder, has conditionally declared daily dividends for its STRC preferred stock in November, pending shareholder approval and amendments taking effect. The company's board announced cash dividends to be paid daily from November 2 to November 30, with each dividend payable on the following business day.
STRC's annualized dividend rate would remain at 12% for the month. Strategy's management intends to continue recommending this rate until the stock demonstrates "sustained, healthy trading near $100 per share." Daily dividends could potentially make STRC more attractive to investors and help it trade closer to its $100 par value.
STRC, one of Strategy's primary fundraising vehicles for Bitcoin purchases, was trading at $99.32 as of Friday, down 0.2% at 1:36 pm UTC. The company added 250 Bitcoin for $21.5 million last week, increasing its total holdings to 848,250 BTC. During the week ending October 4, Strategy repurchased $176 million worth of STRC, spending over six times more on the buybacks than on its $28 million in Bitcoin purchases.
In June, Strategy unveiled a capital framework allowing Bitcoin sales to fund dividends and raised STRC's annual dividend rate to 12%.
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