Company: MSTR
Filing Date: 2025-02-18
Form Type: 10-K
Source: 0000950170-25-021814
Chunk: 531

Company: Strategy Inc
Filing Date: 2025-02-18
Form: 10-K
Item: Item 2
Chunk 531
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 Notes, 2031 Convertible Notes, and 2032 Convertible Notes are convertible at the option of the holders of the respective Convertible Notes during the first quarter of 2025. As a result of the notice of redemption delivered January 24, 2025 to holders of the 2027 Convertible Notes, the 2027 Convertible Notes are convertible at any time thereafter until 5:00pm New York City time, on February 20, 2025. See Note 18, Subsequent Events, to the Consolidated Financial Statements for further information.No conversions of the Convertible Notes occurred during the years ended December 31, 2024, 2023, and 2022, except for the 2025 Convertible Notes as discussed above under the “Conversions and Redemption of 2025 Convertible Notes” subsection. Other than the Company’s redemption of the 2025 Convertible Notes, the Company had not redeemed any of the Convertible Notes as of December 31, 2024. As of December 31, 2024 and 2023, the net carrying value of the Convertible Notes was classified as a long-term liability in the “Long-term debt, net” line item in the Company’s Consolidated Balance Sheets.  The following is a summary of the Company’s convertible debt instruments as of December 31, 2024 (in thousands): 

        December 31, 2024

        Outstanding

        Unamortized

        Net Carrying

        Fair Value

        Principal Amount

        Issuance Costs

        Value

        Amount

        Leveling

        2027 Convertible Notes
         
        $
        1,050,000

        $
        (8,648
        )
         
        $
        1,041,352

        $
        2,134,125

        Level 2

        2028 Convertible Notes

        1,010,000

        (11,457
        )

        998,543

        1,927,828

        Level 2

        2029 Convertible Notes

        3,000,000

        (24,963
        )

        2,975,037

        2,447,682

        Level 2

        2030 Convertible Notes

        800,000

        (14,828
        )

        785,172

        1