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MicroStrategy prices $900 mln debt sale to buy more bitcoin

Major bitcoin corporate backer MicroStrategy Inc on Wednesday priced an offering of $900 million of debt through convertible notes, with the proceeds to be used for buying more of the digital currency.

Adds proceeds, background

Feb 17 (Reuters) - Major bitcoin corporate backer MicroStrategy Inc MSTR.O on Wednesday priced an offering of $900 million of debt through convertible notes, with the proceeds to be used for buying more of the digital currency.

The company, whose Chief Executive Officer Michael Saylor is one of the most vocal proponents of bitcoin, said proceeds of the offering will be about $879.3 million.

MicroStrategy said on Tuesday it will borrow $600 million to buy more bitcoin, as the cryptocurrency surged past $50,000 in a rally fueled by wider acceptance among investors.

Elon Musk's Tesla Inc TSLA.O bought $1.5 billion of the currency earlier this month and major firms such as BNY Mellon BK.N, asset manager BlackRock Inc BLK.N and credit card giant Mastercard Inc MA.N have backed certain cryptocurrencies in recent weeks.

It was not immediately clear if MicroStrategy had priced its $600 million offering on Wednesday or announced a fresh debt sale. The company did not immediately respond to a request for comment.

MicroStrategy, the world's largest publicly traded business intelligence company, spent last year steadily amassing more of the currency after making its first investment in August as it soared in value.

(Reporting by Noor Zainab Hussain in Bengaluru; Editing by Shounak Dasgupta)

((noor.hussain@thomsonreuters.com; Within U.S. +1 646 223 8780; Outside U.S. +91 80 6182 2663 or +91 80 3796 2663))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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