Strategy STRC falls below par value; cash reserves and dividend pressure come under scrutiny.

CoinFeed reported on May 29th that, according to CoinDesk, Strategy's perpetual preferred stock, STRC, fell to $97.11 on Thursday before closing at $98.57, deviating from its $100 par value target and raising concerns about its ability to continue raising funds through ATMs. The report stated that after Strategy recently repurchased its 0% convertible bonds maturing in 2029 with $1.5 billion in cash, its dollar cash reserves decreased from approximately $2.25 billion to $871 million, enough to cover its current annual preferred stock dividend obligation of approximately $1.7 billion for only about six months, far below the originally set 24-month coverage period.