Strive’s newly announced SATS preferred shares will offer a fixed annual dividend yield of 15% at par value, placing them below the company’s existing SATA preferred stock, which currently pays a variable dividend of 13%.
The Bitcoin treasury firm Strive (ASST) unveiled the perpetual preferred share class on Tuesday evening as part of a plan to raise $500 million for further investments.
The company intends to offer 5 million SATS shares at $100 each. The proceeds could fund additional Bitcoin (BTC) acquisitions, purchases of income-generating assets or share buybacks.
SATS will rank behind Strive’s existing perpetual preferred shares, SATA, which carries a variable dividend rate currently at 13%. Both share classes are structured to distribute dividends daily.
Strive also plans to create a dividend reserve when the offering closes, setting aside enough funds to cover SATS dividend payments for the first 18 months.
The company has recently accelerated its Bitcoin accumulation, setting it apart from many other corporate Bitcoin treasury firms, including the much larger Strategy.
Last week, Strive purchased another 3,311 BTC, increasing its total holdings to 32,773 coins, valued at roughly $2.7 billion. Its Bitcoin reserves were still below 20,000 coins just three months ago.
