Marathon Digital to Raise $500M in Convertible Notes
5 d ago•1 min read•Mining
Marathon Digital, one of the largest publicly traded bitcoin miners, will raise $500 million through a convertible senior notes offering, due in 2026.
The notes will be unsecured and to be offered to institutional investors, according to a statement. The pricing as well as interest and conversion rates for the notes will be determined at a later date. The company said it will use the proceeds for general corporate purposes, which includes acquisition of bitcoin or bitcoin mining computers. On Nov. 10, Marathon beat its third-quarter earnings estimates but missed on revenue, while increasing mined bitcoin 91% from the previous quarter. On Nov. 8, Argo Blockchain (ARBK), the London-based cryptocurrency miner, said that it has filed to raise up to $57.5 million in senior notes that would be due in November 2026, with an interest rate of 8.75%. Argo also said it might use some of those proceeds for purchasing mining equipment. The shares of Marathon were down slightly in pre-market trading on Monday, while bitcoin prices were up slightly.