Strategy Shareholders Approve Daily Dividend Plan With 99.3% Voting in Favor

Strategy shareholders have approved a daily dividend plan covering four preferred stocks, with 99.3% of votes cast in favor. Executive Chairman Michael Saylor confirmed the preliminary outcome following the company’s October 28 special meeting.

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Strategy shareholders back daily dividend amendment

The amendment applies to STRC, STRF, STRK and STRD and allows for the dividend to be earned on each calendar day of the security. The vote clears the path for a new payment schedule; however, the updated terms need to go into effect first, Saylor said.

As per the meeting records, 381.36 million votes were cast in favor, which is 63.69% of the total voting power that was available. The proposal was opposed by about 2.23 million voters, with 444,752 others abstaining. The numbers are from the preliminary tabulation made at the shareholders’ meeting on Wednesday.

The approval comes just after Strategy declared conditional dividends from its daily STRC for November. The company had already drafted a daily schedule, subject to shareholder approval and the necessary corporate documentation. The current vote is part of a strategy to switch STRC from monthly to twice-monthly dividends that began in June.

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STRC will start paying dividends on a daily basis in November.

Under the revised schedule, every calendar day becomes a dividend record date, with payments following on the next business day. The first record date for STRC is November 1, with the first payment due on November 2.

The new record dates for STRF, STRK and STRD are starting on January 1, 2027, and the first payments will be issued on January 4. Weekend and holiday payments will be made in accordance with settlement procedures and will not be paid separately on non-business days.

At the meeting, Strategy CEO Phong Le assured shareholders that STRC distributions would not be affected by the change. Instead of the current twice-per-month schedule, the new November schedule is added on top of that, meaning there is no additional obligation to pay a dividend. Strategy has announced $1 per STRC share for November, subject to the new terms coming into effect.

MSTR stock falls while STRC moves closer to $100

Strategy’s MSTR shares fell 1.13% to $139.81 during Wednesday’s session, while STRC gained 0.36% to $99.85. Shareholders approved the new dividend schedule, bringing the preferred stock closer to its $100 stated value.

Through the dividend rate variance and share repurchases, Strategy has tried to keep STRC trading around $100. The preferred stock pays a dividend of 12% per year, and the company can make adjustments to the dividend rate according to the market. As part of these efforts, Strategy recently spent $205 million repurchasing STRC shares, buying approximately 2.07 million shares at an average price of $99.06.

During that time, Strategy did not purchase or sell any BTC, but the repurchases did occur. Consequently, the company’s Bitcoin holdings remained unchanged at 848,517 BTC during the week ending October 25. The company now moves toward its November 1 daily dividend record date following shareholder approval.