Company: MSTR
Filing Date: 2025-03-25
Form Type: 8-K
Source: 0001193125-25-062523
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Company: Strategy Inc
Filing Date: 2025-03-25
Form: 8-K
Item: Item 3.03
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Item 3.03.      Material Modification to Rights of Security Holders.  

On March 25, 2025, MicroStrategy Incorporated d/b/a Strategy (“ Strategy”) issued 8,500,000 shares of a new class of its capital stock titled “10.00% Series A Perpetual Strife Preferred Stock” (the “ Perpetual Strife Preferred Stock”) in a public offering (the “ Offering”) registered under the Securities Act of 1933, as amended (the “ Securities Act”). In connection with the issuance of Perpetual Strife Preferred Stock, Strategy filed a Certificate of Designations (the “ Certificate of Designations”) with the Secretary of State of the State of Delaware designating an aggregate of 8,500,000 shares of, and establishing the terms of, the Perpetual Strife Preferred Stock.

The Perpetual Strife Preferred Stock will accumulate cumulative dividends (“ Regular Dividends”) at a rate per annum equal to 10.00% (the “ Regular Dividend Rate”) of the stated amount of $100 per share (the “ Stated Amount”). Regular Dividends will be payable when, as and if declared by Strategy’s board of directors, out of funds legally available for their payment, quarterly in arrears on March 31, June 30, September 30 and December 31 of each year, beginning on June 30, 2025 (each, a “ Regular Dividend Payment Date”). Declared Regular Dividends on the Perpetual Strife Preferred Stock will be payable solely in cash. If any accumulated Regular Dividend (or any portion thereof) on the Perpetual Strife Preferred Stock is not paid on the applicable Regular Dividend Payment Date (or, if such Regular Dividend Payment Date is not a business day, the next business day), then additional Regular Dividends (“ Compounded Dividends”) will accumulate on the amount of such unpaid Regular Dividend, compounded quarterly at the Compounded Dividend Rate (as defined below), from, and including, such Regular Dividend Payment Date to, but excluding, the date the same, including all Compounded Dividends thereon, is paid in full. The “ Compounded Dividend Rate” applicable to any unpaid Regular Dividend that was due on a Regular Dividend Payment Date (or, if such Regular Dividend Payment Date is not a business day, the next business day) will initially be a rate per annum equal to the Regular Dividend Rate