Item 8.01Item 8.01 - Other Events
Item 8.01 Other Events.
Dividend Rate on Variable Rate Series A Perpetual Stretch Preferred Stock
On September 30, 2026, Strategy Inc (the “Company”) announced that it will maintain the regular dividend rate per annum on the Company’s Variable Rate Series A Perpetual Stretch Preferred Stock (“STRC”) effective for semi-monthly periods commencing on or after October 16, 2026 at 12.00%. The Company announced this rate via its website, www.strategy.com/strc. Such rate shall have no effect on any previously declared but unpaid dividends on STRC. As previously announced, management will recommend to the board of directors that the Company maintain STRC’s regular dividend rate per annum at 12.00% until STRC has demonstrated sustained, healthy trading near $100 per share.
Cash Dividend Declaration
On September 30, 2026, the Company’s board of directors declared semi-monthly cash dividends on STRC, payable on October 31, 2026 to stockholders of record as of 5:00 p.m., New York City time on October 15, 2026, and, unless the Contingent Dividend Condition is met, as described further below, payable on November 15, 2026 to stockholders of record as of 5:00 p.m., New York City time on October 31, 2026, as summarized in the table below.
Preferred Stock Ticker Period Cash Dividend Per Share
Variable Rate Series A Perpetual Stretch Preferred Stock, $0.001 par value per share STRC Semi-monthly period ending $0.50(1)
October 31, 2026
Variable Rate Series A Perpetual Stretch Preferred Stock, $0.001 par value per share STRC Semi-monthly period ending $0.50(1)(2)
November 15, 2026
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(1)
The cash dividend declared on STRC for each semi-monthly period represents a per annum dividend rate of 12.00%.
(2)
The dividend payable on November 15, 2026 is payable unless the Daily Dividend Amendments do not pass or the Second A&R STRC CoD is not timely filed, as described further below. See “Conditional Dividends”.
Conditional Dividends
As previously announced, the Company has scheduled a special meeting of stockholders to be held on October 28, 2026 at 10:00 a.m. Eastern time (including any adjournment or postponement thereof, the “Special Meeting”), to consider a proposal to amend and restate the certificates of designations governing STRC (the “Second A&R STRC CoD”) and certain of the Company’s other series of preferred stock to provide for a regular dividend record date on each calendar day, with the related dividend, if declared, payable on the next following business day (the “Daily Dividend Amendments”).
The dividend on STRC payable on November 15, 2026 to stockholders of record as of 5:00 p.m., New York City time on October 31, 2026 (the “November 15 Dividend”) will be payable, unless both of the following events occur (the “Contingent Dividend Condition”):
(a)
the Daily Dividend Amendments have been approved by the Company’s stockholders at the Special Meeting at or prior to 5:00 p.m., New York City time, on October 31, 2026; and
(b)
the Second A&R STRC CoD has been filed and become effective at or prior to 12:01 a.m., Eastern time, on November 1, 2026.
If the Contingent Dividend Condition is satisfied, i.e., both the Daily Dividend Amendment passes and the Second A&R STRC CoD is timely filed, then the November 15 Dividend will not be payable. Instead, subject to approval by the Company’s board of directors, on or about October 15, 2026, the Company intends to declare, conditioned upon the
satisfaction of the Contingent Dividend Condition, regular dividends with record dates of each calendar day for the month of November 2026, commencing on November 1, 2026 and payable on each subsequent business day. Pursuant to the Second A&R STRC CoD, the annual dividend rate applicable to such daily dividends would be 12.00%. The dividend on STRC payable on October 31, 2026 to stockholders of record as of 5:00 p.m., New York City time on October 15, 2026 is not subject to the Contingent Dividend Condition occurring or not.
Expected Tax Treatment
As of October 1, 2026, the Company expects that the dividends payable on October 31, 2026, and, if payable, November 15, 2026, will be characterized as non-taxable returns of capital to the extent of a shareholder’s tax basis in their STRC for U.S. federal income tax purposes. Special tax considerations may apply to certain taxpayers based on their specific circumstances. Shareholders should consult their own tax advisors regarding the U.S. federal, state, local, and any non-U.S. tax consequences to them in connection with the receipt of distributions.
Item 7.01Item 7.01 - Regulation FD Disclosure
Item 7.01 Regulation FD Disclosure.
Strategy Dashboard
The Company also maintains a dashboard on its website (www.strategy.com) as a disclosure channel for providing broad, non-exclusionary distribution of information regarding the Company to the public, including information regarding market prices of its outstanding securities, bitcoin purchases and holdings, certain KPI metrics and other supplemental information, and as one means of disclosing non-public information in compliance with its disclosure obligations under Regulation FD. Investors and others are encouraged to regularly review the information that the Company makes public via the website dashboard.
Furnished Information
The information disclosed pursuant to Item 7.01 in this Current Report on Form 8-K shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as expressly set forth by specific reference in such a filing.
Additional Information and Where You Can Find It
The Company has filed a preliminary proxy statement with the Securities and Exchange Commission (the “SEC”) in connection with the Special Meeting. The Company also intends to file a definitive proxy statement with the SEC for the Special Meeting. Promptly after filing the definitive proxy statement, the Company will mail the definitive proxy statement and a proxy card to each stockholder entitled to vote at the Special Meeting. Investors and securityholders are urged to read these documents, including the definitive proxy statement (and any amendments or supplements thereto), when they become available because they contain important information. You may obtain these documents (when they become available) free of charge on the SEC’s website (www.sec.gov) or at the Company’s website (www.strategy.com) or by contacting the Company’s Investor Relations team by email (ir@strategy.com). No proxy cards are being furnished by this communication. Stockholders may vote their shares only by following the voting instructions set forth in the definitive proxy statement.
Participant Information
The Company and its directors and executive officers may be deemed to be “participants” (as defined in Section 14(a) of the Exchange Act) in the solicitation of proxies from the Company’s stockholders in connection with the matters to be considered at the Special Meeting. Information about the compensation of the Company’s named executive officers and non-employee directors is set forth in the sections titled “Executive Officer Compensation” and “Director Compensation,” respectively, in the definitive proxy statement for the Company’s 2026 Annual Meeting of Stockholders filed with the SEC on April 28, 2026, available here. Information regarding the participants’ holdings of the Company’s securities and their direct or indirect interests, by security holdings or otherwise, can be found in the sections titled “Security Ownership
of Certain Beneficial Owners and Management” and “Interests of Directors and Executive Officers” in the preliminary proxy statement for the Special Meeting filed with the SEC on September 25, 2026, available here.