Strive Closes $630 Million SATS Preferred Stock Offering

Strive closed its $630 million offering of SATS preferred shares on Oct. 20, issuing a security with cumulative dividends that require a formal declaration before cash can be paid.

The company sold 7 million shares at $90 each. Dividends accrue at a 15% annual rate on a $100 stated amount, or $15 per share over a full year. The rate is based on that stated amount, rather than the offering price.

Cash payments require a declaration by Strive’s board or a duly authorized committee and funds legally available for payment. Dividends that go unpaid continue to accumulate, but they do not earn additional interest. The shares are perpetual and have no stated maturity date.

SATS ranks ahead of Strive’s common stock but behind its SATA preferred shares and future debt. The shares carry no direct claim on Bitcoin (BTC).

Regular dividend payment dates are scheduled for business days beginning Nov. 9. If the first payment is declared in full, it would include dividends accrued and unpaid from after the Oct. 20 closing.