Company: MSTR
Filing Date: 2025-03-25
Form Type: 8-K
Source: 0001193125-25-062523
Chunk: 1

Company: Strategy Inc
Filing Date: 2025-03-25
Form: 8-K
Item: Item 3.03
Chunk 1
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 plus 100 basis points; provided, however, that until such Regular Dividend, together with Compounded Dividends thereon, is paid in full, such Compounded Dividend Rate will increase by 100 basis points per annum for each subsequent Regular Dividend period, up to a maximum rate of 18% per annum.

If Strategy fails to declare a Regular Dividend on or prior to the record date applicable to a Regular Dividend Payment Date, such failure shall constitute the issuance of a notice of deferral. Upon issuance of such notice, Strategy shall use its commercially reasonable efforts over the following60-dayperiod to sell Class A Common Stock and/or other securities to raise proceeds in an amount sufficient to cover any deferred dividends that would have been due with respect to the applicable Regular Dividend Payment Date, plus Compounded Dividends thereon. In certain cases where Strategy has not declared and paid accumulated Regular Dividends in full on the Perpetual Strife Preferred Stock, then, subject to limited exceptions, Strategy will be prohibited from declaring or paying dividends on or repurchasing any shares of Perpetual Strike Preferred Stock, Class A Common Stock, Class B Common Stock or other junior securities.

The Perpetual Strife Preferred Stock has a par value of $0.001 per share and initially has a liquidation preference of $100 per share, subject to adjustment as set forth below (the “ Liquidation Preference”). The Perpetual Strife Preferred Stock will rank senior to Strategy’s class A common stock, $0.001 par value per share (the “ Class A Common Stock”), class B common stock, $0.001 par value per share (the “ Class B Common Stock”), and 8.00% Series A Perpetual Strike Preferred Stock (the “ Perpetual Strike Preferred Stock”) with respect to the payment of dividends and the distribution of assets upon Strategy’s liquidation, dissolution or winding up. If Strategy liquidates, dissolves or winds up, whether voluntarily or involuntarily, then the holders of Perpetual Strife Preferred Stock will be entitled to receive payment for the Liquidation Preference of, and all accumulated and unpaid Regular Dividends and any Compounded Dividends (each as defined below) on, their shares of Perpetual Strife Preferred Stock out of Strategy’s assets or funds legally available for distribution to its stockholders, before any such assets or funds are distributed to, or set aside for the benefit of, holders of the Class A Common Stock, Class B