MicroStrategy co-founder Michael Saylor recently spoke about his company’s plans to revamp its fundraising strategies. In an interview with Bloomberg, Saylor detailed how the business intelligence firm would introduce more “intelligent” leverage into its fundraising operations.
In October, MicroStrategy had announced its plans to raise a total of $42 billion over a span of three years. However, as it turns out, the company’s fundraising efforts have been overwhelmingly successful, surpassing the initial target way ahead of schedule.
“When we announced that, it wasn’t clear how enthusiastic the capital markets would be, but we got a very enthusiastic reception…We went faster than we had thought we were going to go on Oct. 30,” Saylor revealed. This shows the company’s strong standing in the current market and the trust investors have placed in its vision and operations.
Saylor further elaborated that the company would continue to raise capital primarily through fixed-income markets. However, once MicroStrategy achieves its fundraising goal, it will revisit its capital plan. According to Saylor, the company would then implement a new plan, which would be “subject to market conditions at the time.”
“We’re always considering is that the convertible market? Is it the fixed-income market, or is it the equity market we want to go to? And that’s going to change from time to time. I expect that that mix will shift more heavily toward fixed income markets and Q1 as we go forward,” Saylor explained.
Currently, Saylor is of the opinion that the company is getting more deleveraged, and he would like to see further leverage.
In a significant development, MicroStrategy was recently included in the tech-heavy Nasdaq-100 index, a major accomplishment for the company. “We have a very healthy software division now and and we’re very proud of it. And I did create it. But we also we think of ourselves primarily as a Bitcoin Treasury company now,” Saylor added.
This move by MicroStrategy to revamp its fundraising strategy reflects the company’s adaptability and strategic planning. With a healthy mix of various market levers, it shows a clear path forward for the firm, even as it navigates the complexities of the financial market. The company’s success to date and its inclusion in the Nasdaq-100 index are testament to its growth potential and robust financial strategies.
