Marathon Electronic Holdings, one of the largest bitcoin miners (BTC) in the United States, plans to borrow $ 500 million to buy bitcoin and start new bitcoin miners.
On Monday, the Nasdaq-listed company officially announced a private debt offering that includes $ 500 million in total equity from its senior convertible bonds. The company is also expected to offer first-time buyers an option to purchase up to $ 75 million of additional principal 13 days after the initial bond issue.
“The bonds are an unsecured premium from Marathon, which bears interest every six months and is due on December 1, 2026, unless they have been repaid, repaid or transferred beforehand,” the statement said.
According to the announcement, Marathon will use the raised funds for general corporate purposes such as acquiring bitcoin or setting up new bitcoin mining equipment.
“This is not baked into anyone’s model,” remarked MicroStrategy CEO Michael Saylor, referring to the newly announced offering.
– Michael Saylor⚡️ (@saylor) November 15, 2021
Marathon stock has responded to the news, with MARA stock up more than 7% in the past 24 hours, trading at $ 75.9 at the time of publication, according to data from TradingView.TradingView. As Cointelegraph previously reported, MARA hit a six-year high in early November, with Marathon amassing $ 460 million in Bitcoin.
Related: Bitcoin mining company Stronghold will list nearly 6 million shares in its $ 100 million IPO
Not only has Marathon achieved great success in its own stocks, but has also promoted a number of investment products related to the Bitcoin industry, including Exchange Traded Funds (ETFs). As a result, Marathon stock is part of many industry companies tracking crypto ETPs, including Volt Fairness’s Cryptocurrency Industrial Revolution and Tech ETF, Melanion Capitals BTC Equities Universe UCITS ETF, World Wide Miners Obtain ETF by Cosmos Asset Management, and others.