Overview
- Strive registered a follow-on offering of up to $150 million of its Variable Rate Series A Perpetual Preferred Stock (SATA), subject to market conditions.
- Barclays and Cantor are named as joint book-running managers with Clear Street as co-manager for the registered offering.
- Proceeds are intended to repurchase or redeem all or part of Semler Scientific’s 4.25% Convertible Senior Notes due 2030, alongside potential use of cash on hand and funds from terminating certain derivative contracts.
- Additional uses include paying down Semler’s borrowings with Coinbase Credit Inc., purchasing more bitcoin and related products, and funding general corporate purposes.
- SATA carries a $100 stated value with cumulative dividends currently at 12.25% annually, missed dividends can accrue up to about 20% per year, the company holds redemption rights generally at $110 plus accrued dividends, and it is negotiating possible note-for-preferred exchanges with some noteholders.