Strategy Inc. has agreed to repurchase about $1.5 billion of its 0% convertible senior notes due 2029 through private deals with select holders.
Strategy to repurchase $1.5 billion principal amount of 2029 convertible notes. $MSTR $STRC https://t.co/QVYDSr5keh
— Strategy (@Strategy) May 15, 2026
Large debt buyback targets 2029 convertible notes
The company will pay roughly $1.38 billion in cash, with final pricing still subject to adjustment based on its share price during the measurement period.
The repurchased notes will be cancelled after settlement, leaving about $1.5 billion still outstanding. The move reduces a portion of the company’s long-dated convertible debt while keeping part of the structure in place.
Funding mix includes cash, equity sales, and Bitcoin sales
Strategy plans to fund the buyback using a mix of available cash, proceeds from its at-the-market equity program, and potential sales of Bitcoin holdings.
The flexibility in funding reflects the company’s hybrid capital approach, where both equity issuance and Bitcoin reserves can be used to manage balance sheet needs. The final cash outlay may vary depending on stock price movements during the measurement period.
The settlement of the repurchase is expected around May 19, 2026, subject to standard closing conditions.
Capital structure reset connects debt strategy to Bitcoin exposure
The transaction highlights Strategy’s continued effort to actively manage its capital structure while maintaining its Bitcoin-heavy corporate strategy.
By reducing part of its convertible debt, the company lowers future dilution risk tied to conversion scenarios, while still keeping exposure to potential upside through remaining notes.
The use of Bitcoin as a possible funding source also reinforces how closely the company’s balance sheet is tied to crypto market conditions. This structure means changes in Bitcoin price can directly influence funding decisions, leverage levels, and long-term financial strategy.
The remaining notes will continue to play a role in Strategy’s broader capital planning as it balances debt, equity issuance, and digital asset exposure
The company, led by Executive Chairman Michael Saylor, bought the Bitcoin between May 4 and May 10 at an average price of $80,340 per coin, according to a filing submitted Monday to the US Securities and Exchange Commission.
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