Strive Taps the SATS ATM for the First Time as ASST Falls 23%
As ASST slid on Thursday, one Stocktwits investor wrote, “this has to be a giant atm at this point.” A day earlier, another investor had questioned whether Strive would sell common shares when it had just opened a $1 billion ATM for its SATS preferred. By Friday’s close, ASST had fallen from $28.97 to $22.20 in a week, a 23.4% drop. Thursday’s post · Wednesday’s exchange · ASST trading history
On Monday, CEO Matt Cole settled the question. SATS accounted for 100% of Strive’s ATM proceeds that week. The ASST common ATM raised zero. Strive bought 124 bitcoin at an average of $80,526, roughly $10 million in all. Cole said existing cash covered most of the purchase. Cole’s funding update · November 2 treasury 8-K
What the first SATS sales could buy
Strive ended the week with 7,003,418 SATS shares outstanding, just 3,418 more than it issued in the IPO. At Friday’s $93.25 close, selling those additional shares would have raised about $319,000 before fees. That would buy roughly four bitcoin at Strive’s average purchase price. The 8-K leaves the actual sale price and proceeds undisclosed. Cash and equivalents fell $14 million to $490.4 million over the week. SATS trading history · October 30 balances
SATS gives Strive a way to raise money for bitcoin even when both preferreds trade below $100. Strive has committed to a $100 minimum on new SATA sales. SATS carries no equivalent floor, and its shares do not convert into ASST. That flexibility has a price. Each new SATS share carries a $15 annual dividend on its $100 stated amount. This week’s issuance added $51,270 in annualized dividends and $341,800 in preferred claims ahead of common shareholders. Strive’s preferred terms · SATS ATM agreement
Why keeping the ASST ATM off mattered
At Friday’s $22.20 close and the $76,764 bitcoin price in Strive’s update, selling one new ASST share and putting every dollar into bitcoin would have bought about 28,920 sats before fees. Each existing effective common share already represented 33,868 sats. A common sale at those prices would have reduced gross bitcoin backing per share. Strive’s October 30 price snapshot · ASST trading history
Instead, Strive finished Friday with 43,124 BTC. Effective common shares rose by just 2,763. Outstanding options fell by the same number, leaving the fully diluted count flat at 130,044,690. Gross bitcoin backing rose 0.29% on both measures, from 33,771 to 33,868 sats per effective share and from 33,066 to 33,161 sats per fully diluted share. November 2 filing · Strive’s BTC-per-share history
For someone who held 100 ASST shares through the selloff, the position lost $677 in market value. Those same shares ended the week with roughly 9,700 more sats of gross bitcoin backing.