Strategy Cuts 2029 Debt Load by $1.5B After Discounted Note Buyback

Michael Saylor’s Strategy has repurchased $1.5 billion of its 0% convertible senior notes due in 2029 for roughly $1.38 billion, allowing the company to retire debt at an 8% discount to par value.

The move reduces Strategy’s outstanding convertible note obligations from approximately $8.2 billion to $6.7 billion, strengthening the company’s balance sheet while easing concerns surrounding future repayment pressure tied to its aggressive Bitcoin accumulation strategy.

The repurchase was funded directly from company cash reserves rather than through additional Bitcoin sales or new financing. Following the transaction, Strategy reported holding roughly $871 million in remaining USD reserves alongside about $15.5 billion in outstanding preferred stock obligations.

Market analysts viewed the buyback as a proactive liability management move, especially given the high conversion price attached to the notes, estimated around $672 per share. Some industry observers said the repurchase removes a major uncertainty tied to potential refinancing pressure approaching 2028–2029.

The announcement also comes during a rare pause in Strategy’s Bitcoin buying activity. The company did not report a fresh BTC acquisition this week after previously purchasing roughly $2 billion worth of Bitcoin earlier this month. Strategy currently holds more than 843,000 BTC, maintaining its position as the world’s largest corporate Bitcoin holder.