MicroStrategy Inc ( MSTR ) shares are trading lower in Wednesday’s after-hours session after the company announced a proposed private offering.

What Happened: After the market close on Wednesday, MicroStrategy ( MSTR ) announced that it intends to offer $500 million worth of convertible senior notes due 2031 in a private offering to institutional buyers. The company also plans to grant the initial purchasers of the notes a 13-day window to purchase up to an additional $75 million of the notes.

MicroStrategy ( MSTR ) said it intends to use the net proceeds from the sale to acquire additional Bitcoin (CRYPTO: BTC).

The news comes a week after MicroStrategy ( MSTR ) announced that it would offer $700 million aggregate principal amount of 0.625% convertible senior notes due 2030 in a private offering. In a regulatory filing on Monday, the company confirmed that it used the net proceeds from that offering to buy bitcoin.

MicroStrategy ( MSTR ) is a business intelligence, mobile software and cloud-based services company, focused on accumulating bitcoin. As of March 10, MicroStrategy ( MSTR ) said it held an aggregate of approximately 205,000 bitcoins at an average purchase price of approximately $33,706 per coin.

Check This Out: Bitcoin’s Record Rally To $73K Overshadows Death Cross Signals In Two Crypto Mining Stocks

MSTR Price Action: MicroStrategy ( MSTR ) shares are up approximately 180% since the start of the year, largely driven by rising bitcoin prices. The stock was down 2.33% after hours at $1,725 at the time of publication, according to Benzinga Pro.