Strive Pays Down Semler Liabilities and Adds 334 Bitcoin

The company accomplished this by using proceeds from a heavily oversubscribed preferred stock offering that raised $225 million. The company added 333.9 Bitcoin to its balance sheet, lifting total holdings to 13,132 BTC and placing it among the top 10 corporate Bitcoin holders, while fully repaying a $20 million Coinbase loan and leaving its Bitcoin unencumbered.

Strive Expands Bitcoin Treasury

Strive, a Bitcoin treasury company backed by Vivek Ramaswamy, reshaped its balance sheet after the completion of its acquisition of Semler Scientific earlier this month. The company said it retired 92% of the debt it inherited from Semler and added more Bitcoin to its holdings after closing a preferred stock offering designed to fund long-term accumulation without increasing leverage.

The company revealed that demand for its Variable Rate Series A Perpetual Preferred Stock, trading under the ticker SATA, reached roughly $600 million, prompting Strive to increase the size of the offering from an initial target of $150 million to $225 million. The preferred shares are a form of long-duration equity financing, which allows Strive to raise capital for Bitcoin purchases while avoiding additional borrowing.

Strive finalized its merger with Semler Scientific on Jan. 13, after an agreement reached in September. Earlier this month, the company also shared plans to use proceeds from the stock offering, along with existing cash and potential gains from unwinding hedging positions, to reduce inherited liabilities and expand its Bitcoin exposure. 

On Wednesday, Strive confirmed that it will use the new capital to retire $110 million of Semler’s debt, including $90 million in convertible notes exchanged for SATA stock and the full repayment of a $20 million Coinbase credit facility. With the Coinbase loan fully repaid, Strive said its Bitcoin holdings are now entirely unencumbered, and it expects to eliminate the remaining $10 million in debt in the next four months.

Alongside the balance sheet cleanup, Strive purchased an additional 333.9 Bitcoin at an average price of $89,851, lifting its total holdings to 13,132 BTC. At current market prices, the stash is valued at approximately $1.17 billion. This places Strive among the top 10 corporate Bitcoin treasury holders. 

BTC’s price action over the past 24 hours (Source: CoinCodex)

Despite these developments, Strive’s stock moved lower on Wednesday. Shares of ASST fell 2.23% to $0.80, according to CoinCodex, leaving the stock down more than 92% from its $10.46 peak that was reached after the company first announced its Bitcoin-focused strategy.