MicroStrategy Proposes Massive Increase in Authorized Shares to 10.33 Billion

Last updated:

January 17, 2025 16:22 EST

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Hongji Feng

Author

Hongji Feng

About Author

Hongji is a crypto and tech reporter. He graduated from Northwestern University’s Medill School of Journalism with a Bachelor’s and a Master’s. He has previously interned at HTX (Huobi Global),…

Last updated:

January 17, 2025 16:22 EST

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MicroStrategy has proposed major amendments to its corporate charter on Friday, seeking to increase authorized common shares to 10.33 billion and preferred shares to over 1 billion, as disclosed in a recent SEC filing.

This represents a substantial increase from the current 330 million common shares and 5 million preferred shares.

The proposal will be presented to shareholders for a vote at the upcoming annual general meeting.

Upon approval, the company would have the ability to issue additional shares without seeking further shareholder authorization.

This amendment would provide the company with flexibility for future issuances without immediate plans to issue new shares.

The expanded share structure could be utilized for various purposes, such as raising capital, facilitating mergers, or enabling acquisitions.

Despite this flexibility, the SEC filing emphasized that the company has not disclosed any specific plans for issuing shares at this time.

By proposing these changes, MicroStrategy seeks to enhance its financial flexibility and prepare for future opportunities.

While the share expansion emphasizes MicroStrategy’s growth strategy, its partnership with STACKIT signals a broader push toward regional compliance and innovation.

Partnership with STACKIT to Enhance Data Sovereignty in Europe

MicroStrategy has announced a partnership with STACKIT, the cloud services division of the Schwarz Group, to launch the MicroStrategy Sovereign European Cloud.

The platform intends to serve highly regulated European businesses by providing secure, compliant access to MicroStrategy’s AI and business intelligence solutions.

The new cloud offering ensures strict adherence to EU data sovereignty requirements, with customer data hosted within Germany and Austria.

The platform integrates MicroStrategy ONE’s AI capabilities, allowing businesses to build AI-driven applications and access analytics through natural language queries.

MicroStrategy’s CEO, Phong Le, emphasized the platform’s focus on delivering value to customers while maintaining compliance with European regulations.

“MicroStrategy ONE on STACKIT secures data sovereignty by providing a protected framework for customer data, which also enables our joint European customers to future-proof their investment in MicroStrategy,” said STACKIT CEO Bernie Wagner.