MARA Holdings to raise $850M to buy more Bitcoin and repurchase debt
Key Takeaways
- MARA Holdings will raise $850 million through zero-coupon convertible notes to fund Bitcoin acquisitions and strategic purposes.
- A portion of the proceeds will be used to repurchase existing notes and reduce dilution risks through capped call transactions.
MARA Holdings said Wednesday it plans to raise $850 million via a private sale of zero-coupon convertible senior notes. Proceeds will be used for debt buybacks, capped call transactions, Bitcoin accumulation, and corporate purposes.
Of the total proceeds, $50 million will be earmarked for repurchasing part of the company’s 1.00% convertible notes due 2026; the remainder will be applied to previously disclosed uses.
The notes will be convertible into cash, MARA common stock, or a combination of both, at the company’s discretion. Before May 1, 2032, conversions will only be permitted during specific periods and under certain conditions. The initial conversion rate and other terms will be determined during pricing.
As part of the offering, MARA plans to enter into private capped call agreements with the initial buyers or their affiliates. These agreements are meant to limit the dilution of MARA’s common stock if the notes are converted into shares by covering the same number of shares tied to the notes, adjusted for any changes, like stock splits.
Also on Tuesday, MARA reported mining 2,358 BTC in Q2, ending June with 310,000 energized miners and 49,951 Bitcoin. The company is now the second-largest corporate holder of Bitcoin, only behind Strategy, which owns 607,770 BTC worth over $72 billion.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Reshaping Keynesian Thought Recognized with Nobel Prize! American economists Hall and Woodford reveal the underlying logic of consumption decisions and central bank policies
The Royal Swedish Academy of Sciences announced on October 12 that the 2026 Nobel Prize in Economics will be awarded to American economists Robert Hall and Michael Woodford, in recognition of their outstanding contributions to foundational microeconomic research for macroeconomic stability policy.
TSMC Q3 Earnings Preview: 2nm Mass Production, Strong AI Demand, HSBC Raises Target to 3,800 TWD
According to Bloomberg's calculations, TSMC's revenue for the third quarter reached NT$1.49 trillion, mainly driven by strong volume growth in 2nm processes and high utilization rates for 3nm and 5nm processes. Bank of America and HSBC have both raised their target prices, with the highest projection reaching NT$3,800. The company is expected to maintain strong growth momentum in the fourth quarter due to price increases and migration to advanced processes. Capital expenditures will remain high to strengthen its core position in AI infrastructure.
The weakest borrowers can no longer hold on! Morgan Stanley: CCC-rated credit spreads have surpassed 1000 basis points, bank stocks experience the most extreme overselling in 33 years.
U.S. stock indices are only 0.2% away from all-time highs, but there is turbulence beneath the calm surface: CCC-rated bond spreads have exceeded 1,000 basis points, marking the widest level since 2023 and credit differentiation has reached historic extremes. The gap in RSI between bank stocks and the S&P 500 is the largest in 33 years, indicating deep overselling; 10-year U.S. Treasury yields have soared to 5.30%, a new high since 2002. The upcoming bank stock earnings season, kicking off this Tuesday, is viewed as a crucial moment to test whether the market can bridge the gap between "fundamental resilience and investor concerns."
Bitcoin Up 29% Despite Strong Dollar and Higher Rates — CryptoQuant
Crypto prices
More
