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Money Manager Capital Group Takes 12% Stake in MicroStrategy

News of the filing didn’t affect MicroStrategy’s shares much, as they traded down 0.3% at last check but climbed 19% in the last six months.
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Capital Group, an investment management firm, has taken a 12% stake in data analytics/Bitcoin company MicroStrategy  (MSTR) - Get MicroStrategy Incorporated Class A Report, according to an SEC filing from July 9.

News reports of the filing Tuesday didn’t affect MicroStrategy’s shares much. They traded at $586.94, down 0.3% at last check but have climbed 19% over the past six months.

Capital owned 953,242 of MicroStrategy’s 7,782,568 outstanding shares as of June 30.

Capital ranks as MicroStrategy’s third biggest shareholder. Chief Executive Michael Saylor is the top shareholder, with more than 25%, and BlackRock  (BLK) - Get BlackRock, Inc. Report is second, Bloomberg reports.

Capital Group has $4.5 billion of assets under management.

Saylor is a huge Bitcoin devotee. In June, MicroStrategy bought 13,005 units of the cryptocurrency for about $489 million, an average price of about $37,617.

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The company used the recent price drop to increase its holdings. As of June 21 it held about 105,085 bitcoins, which it bought for $2.74 billion, or an average $26,080 each.

Bitcoin recently traded at $32,730, down 0.3% at last check. It has slumped 11% over the past six months, as investors try to determine what kind of staying power the digital currency has for the long term.

MicroStrategy has become the largest publicly traded corporate holder of Bitcoin.

Tesla  (TSLA) - Get Tesla Inc Report holds the second-largest quantity of Bitcoin of any public company with 43,200, followed by Square  (SQ) - Get Square, Inc. Class A Report with 8,027.

Still, holdings among the public companies are dwarfed by private ones, like digital-currency asset manager Grayscale and blockchain-solutions provider Block.one.

Grayscale Bitcoin Trust owns 654,885 Bitcoin to back up the shares of its trust. Block.one owns some 140,000 Bitcoin.