MSTR Takes Bold Move: Buying Back $1.5B of Debt with Bitcoin Sales – Shocking Strategy!

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Strategy bonds move risks <a href="https://pricpr.com/btc-usd/">Bitcoin</a> sale

Michael Saylor’s company is buying back $1.5 billion in strategy bonds and may use proceeds from Bitcoin sales to finance the repurchase.

Summary

  • Strategy agreed to repurchase $1.5 billion of its 2029 zero-coupon convertible notes for approximately $1.38 billion in privately negotiated transactions.
  • The firm named Bitcoin sales alongside cash reserves and equity proceeds as funding options, the first time a BTC sale has been explicitly listed.
  • Settlement is expected around May 19, after which the repurchased notes will be cancelled, leaving roughly $1.5 billion of the 2029 tranche outstanding.

Strategy announced on Friday that it will buy back about $1.5 billion of its debt, specifically its 0% Convertible Senior Notes due in 2029. The company plans to spend roughly $1.38 billion in cash for this repurchase, meaning it’s buying the debt at less than its original face value.

The company plans to pay for this deal using its existing cash, money raised from selling stock, and possibly by selling some of its Bitcoin holdings.

Listing Bitcoin as a way to raise funds is a notable change in the company’s approach. MicroStrategy’s CEO previously stated at the Bitcoin 2026 conference that any Bitcoin sales would be quickly replaced with larger purchases – even selling one Bitcoin would be followed by buying 10 to 20 more. The company currently holds 818,869 Bitcoin, with an average purchase price of around $75,537 per coin.

Why this buyback matters

The bonds issued in November 2024, originally worth $3 billion, allow holders to convert them into shares of MicroStrategy (MSTR) stock. However, with MSTR currently trading around $183 per share – much lower than the $672.40 conversion price – bondholders aren’t interested in converting and are instead selling the bonds at a reduced price.

Throughout 2026, Strategy has been steadily buying Bitcoin, most recently adding 535 BTC on May 10th. Analysts at JPMorgan estimate Strategy could spend as much as $30 billion on Bitcoin this year. This purchasing is part of a long-term plan, described by Saylor, to convert the company’s $8.2 billion debt into Bitcoin.

According to crypto.news, Strategy has earned 63,410 Bitcoin – about $5.1 billion as of today – in 2026. Following a slight dip in Bitcoin’s price to around $80,400, shares of MSTR were down about 2% before regular trading began.

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2026-05-15 21:04