Company: MSTR
Filing Date: 2025-03-10
Form Type: 424B5
Source: 0001193125-25-050408
Chunk: 35

Company: Strategy Inc
Filing Date: 2025-03-10
Form: 424B5
Chunk 35
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 strike preferred stock” above.

Furthermore, if any shares of perpetual
strike preferred stock are issued at a price that exceeds their liquidation preference, such shares would constitute “disqualified preferred stock” within the meaning of Section 1059(f)(2) of the Code and any corporate U.S. holder
generally will be required to reduce its tax basis (but not below zero) in the perpetual strike preferred stock by the amount of any dividends-received deduction it receives. If any shares of perpetual strike preferred stock issued are considered
disqualified preferred stock, the other shares of perpetual strike preferred stock could also be subject to same treatment as a practical matter due to fungible trading.

If any shares of perpetual strike preferred stock are sold at a discount, such shares may be subject to rules that require the accrual of such discount (or a
greater discount that applies to any other shares of perpetual strike preferred stock) currently over the deemed term of the shares as deemed distributions under U.S. tax rules similar to those governing original issue discount for debt instruments.
In that event, the IRS or a withholding agent may treat any such discount as resulting in deemed taxable distributions with respect to the all shares of perpetual strike preferred stock, including those not issued at a discount (or issued at a
lesser discount).

Because the IRS or other parties (such as withholding agents) may not be able to distinguish the shares of perpetual strike preferred
stock offered or resold from time to time, a holder of perpetual strike preferred stock might be subject to adverse tax consequences or might be required to demonstrate to the IRS (or such other parties) that the holder purchased the perpetual
strike preferred stock in a specific offering to which those adverse tax consequences did not apply. Moreover, any adverse tax consequences as described above in connection with the issuance of any Offered Shares or Additional Shares may adversely
affect the trading price of the perpetual strike preferred stock. See “Material United States Federal Income Tax Considerations” for further discussion.

Provisions of the perpetual strike preferred stock could delay or prevent an otherwise beneficial takeover of us.

Certain provisions in the perpetual strike preferred stock could make a third-party attempt to acquire us more difficult or expensive. For example, if a
takeover constitutes a fundamental change, then, except as described in this prospectus supplement, preferred stockholders will have the right to require us to repurchase their perpetual strike preferred stock for cash. See “Description of
Perpetual Strike Preferred Stock—Fundamental Change Permits Preferred Stockholders to Require Us