# MicroStrategy repurchases $1.5 billion of 2029 convertible notes at

**Published:** 2026-05-15T19:06:36.000Z  
**Topic:** Microstrategy Bitcoin  
**Sentiment:** neutral  
**Publisher:** TrendWatcher — https://www.trendwatcher.in/article/55348fd6-feaf-4622-980f-801729fee92e

MicroStrategy buys back $1.5 billion of 0% convertible debt for $1.38 billion, cutting liability by half as bitcoin price stalls – see the deal details.

MicroStrategy announced it will retire roughly $1.5 billion of its 0% convertible senior notes due 2029, paying about $1.38 billion in cash—a discount to par value [1]. The transaction, negotiated privately with select noteholders, represents half of the original $3 billion issuance from November 2024 and will leave about $1.5 billion of the notes outstanding after settlement around May 19 [3].

The company plans to fund the buyback with existing cash reserves, proceeds from its at‑the‑market equity offering, and potentially sales of bitcoin holdings, though a separate report says no bitcoin was sold for the deal [5]. By retiring debt at a discount, MicroStrategy reduces its liability by an estimated $120 million, easing the “cash repayment wall” that analysts feared could loom in mid‑2028 [2]. The conversion price of $672.40 per share remains far above the current stock price of roughly $183, leaving the notes deep out‑of‑the‑money and giving the firm leverage to negotiate favorable terms [1].

The move comes as both crypto and equity markets are weak—bitcoin slipped to $80,400 and MSTR shares fell 2% in pre‑market trading [1]. Despite the debt reduction, the stock price dropped 3% in pre‑market trading after the announcement, underscoring lingering investor concerns about the company’s heavy bitcoin exposure and the sizable remaining convertible debt [2]. The final repurchase price is tied to the volume‑weighted average price of MSTR’s Class A shares during a set measurement period, adding a variable pricing element to the transaction [3].

With roughly $1.5 billion of convertible notes still on the books, MicroStrategy’s balance sheet will continue to carry a significant liability that could pressure the stock if its price does not move closer to the $672.40 conversion strike. How the firm finances any future debt reductions—whether through further bitcoin sales or equity issuances—will be a key factor for investors watching the interplay between its treasury strategy and market performance.

## Sources
1. Tradebytes — [Strategy Repurchases $1.5B of 2029 Convertible Notes at ...](https://www.tradebytes.net/article/2026-05-15-strategy-to-repurchase-15-billion-of-2029-convertible-bonds)
2. Cointelegraph — [Strategy Buys Back $1.5B of Debt at Discount - Cointelegraph](https://cointelegraph.com/news/strategy-repurchases-15b-notes-cuts-outstanding-debt-67b-2029)
3. CoinDesk — [Strategy (MSTR) buying back convertible debt at a discount](https://www.coindesk.com/markets/2026/05/15/strategy-to-repurchase-usd1-5-billion-of-2029-convertible-bonds-using-cash-or-bitcoin-sales)
4. Coin-informer — [Strategy (MSTR) buying back convertible debt at a discount ...](https://www.coin-informer.com/news/strategy-mstr-buying-back-convertible-debt-at-a-discount-coi-2026-05-15/)
5. Memeburn — [Strategy (MSTR) Retires $1.5B in Debt Without Selling Bitcoin](https://memeburn.com/strategy-mstr-retires-1-5b-in-debt-without-selling-bitcoin/)

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Cite as: TrendWatcher, "MicroStrategy repurchases $1.5 billion of 2029 convertible notes at", https://www.trendwatcher.in/article/55348fd6-feaf-4622-980f-801729fee92e