I have received a lot of questions about whether $MSTR could simply use the ATM to raise cash to redeem the 2027 notes. The short answer is no. There are protections put in place for the bond holders to protect the value of their investment. Even if MSTR calls for redemption of the bonds early, the bond holders have the protection to elect to receive their shares. They are not forced into a cash redemption which would lose all the value of their now "in the money" call option. Without these protections, nobody would buy the bonds. Imagine you bought a bond with a 0% coupon (i.e. no interest payments) and if the stock performed well the company could just pay you back your original investment and move on so you got zero benefit from your investment. Bad deal, right? You locked your capital up, and got absolutely no benefit for doing so. This is why these protections are put in place. Not only that, if MSTR is the one to call the redemption early they actually will end up owing the bond holders MORE shares than anticipated at origination due to the "make whole provision". For more details of the mechanics, check out this post 👇