Strategy’s Saylor Says It’s Not The Time To Buy Rivals – Details

Strategy Chairman Michael Saylor told investors that his company is not looking to buy peer Bitcoin treasury firms, saying such deals often take too long and carry too much uncertainty. Strategy’s Focus Remains On Buying Bitcoin According to Strategy’s third-quarter earnings call, Saylor said the company has “no plans to pursue M&A” even when a deal might look accretive at ￰0￱ warned that deals can stretch out “six to nine months or a year,” and that an idea that looks good at the start may not be attractive months later. Strategy’s stated plan is straightforward: sell digital credit, shore up the balance sheet, buy Bitcoin and keep investors ￰1￱ clarity, Saylor argued, makes the company’s results easier for analysts to check and for the market to judge.

M&A Activity Picks Up Elsewhere Reports have disclosed that Strive moved ahead with a deal in late September, agreeing to buy rival Semler Scientific in an all-stock transaction that left the combined firm with 11,006 ￰2￱ haul would put Strive among the larger public holders — roughly the 12th-largest — trailing big names such as ￰3￱ contrast, Strategy’s holdings remain huge: 640,808 BTC, the largest stash reported by any public ￰4￱ numbers underline why Strategy feels little pressure to rush into consolidation when its primary aim is ￰5￱ Le, Strategy’s CEO, warned that buying other firms often hides ￰6￱ said software M&A is “very difficult,” and added that the same caution applies to purchases of Bitcoin treasury ￰7￱ comments were made alongside Saylor’s more guarded line that the company would not say “never” to acquisitions, but that the current focus is clear and ￰8￱ The Market Is Looking At Strategy S&P Global Ratings last week gave Strategy a B- grade – or “junk” rating – placing the firm in a speculative, non-investment-grade ￰9￱ to the rating agency’s view, much of the company’s Bitcoin hoard was not counted toward its equity, and that had an effect on the final ￰10￱ suggested that credit metrics could change if Bitcoin is ever treated differently on corporate balance sheets — for example, if it were recognized as a capital asset — which would likely affect how ratings are ￰11￱ credit rating does not change what Saylor says drives the ￰12￱ pointed out that each Bitcoin purchase can be measured and shown to investors, which makes the firm’s model predictable and ￰13￱ predictability is used by company leadership to argue that accumulation beats acquiring rivals right ￰14￱ image from Unsplash, chart from TradingView