08:48 AM EDT, 09/18/2024 (MT Newswires) -- MicroStrategy ( MSTR ) said Wednesday it has priced an offering of $875 million worth of 0.625% convertible senior notes due 2028.

The Bitcoin development company said the notes will be sold in a private offering to institutional investors, and that the initial investors will have the option to buy up to an additional $135 million worth of the notes.

MicroStrategy ( MSTR ) said the notes will be convertible into cash, shares of the company's class A common stock, or a combination of the two. The conversion rate for the notes will initially be 5.4589 shares of MicroStrategy ( MSTR ) class A common stock per $1,000 principal amount of notes, which is equal to an initial conversion price of approximately $183.19 per share.

The offering, which was upsized from $700 million, is expected to close Thursday.

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