Company: MSTR
Filing Date: 2025-02-24
Form Type: 8-K
Source: 0001193125-25-032800
Chunk: 7

Company: Strategy Inc
Filing Date: 2025-02-24
Form: 8-K
Item: Item 3.02
Chunk 7
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Item 3.02.      Unregistered Sales of Equity Securities.  

The information set forth under Item 1.01 of this Current Report on Form8-Kunder the heading “ Convertible Notes Offering” is incorporated herein by reference.

The Company offered and sold the notes to the Initial Purchasers in reliance on the exemption from the registration requirements provided by Section 4(a)(2) of the Securities Act and the notes were resold only to persons reasonably believed to be qualified institutional buyers in reliance on Rule 144A under the Securities Act. The Company will settle conversions of the notes by paying or delivering, as applicable, cash, shares of the Company’s class A common stock or a combination of cash and shares of the Company’s class A common stock, at the Company’s election. Neither the notes nor the underlying shares of class A common stock have been registered under the Securities Act and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements. Any shares of the Company’s class A common stock that may be issued upon conversion of the notes will be issued in reliance upon Section 3(a)(9) of the Securities Act as involving an exchange by the Company exclusively with its security holders. Assuming the Initial Purchasers fully exercise their option to purchase additional notes, initially, a maximum of 7,163,810 shares of the Company’s class A common stock may be issued upon conversion of the notes, based on the initial maximum conversion rate of 3.1147 shares of class A common stock per $1,000 principal amount of notes, which is subject to customary anti-dilution adjustment provisions.