Summary by Moomoo AI
Marathon Digital announced plans to offer $700 million in zero-coupon convertible senior notes due 2031, with an option for purchasers to buy an additional $105 million. The company intends to use the proceeds to acquire more bitcoin and repurchase up to $50 million of its existing 2026 convertible notes, with the remainder allocated for general corporate purposes.The announcement follows Marathon's significant bitcoin acquisition between October and November 2024, where it purchased approximately 6,484 bitcoin for $618.3 million at an average price of $95,352 per bitcoin. The new notes will be unsecured, senior obligations maturing on June 1, 2031, convertible into cash, common stock, or a combination thereof.The notes will be offered privately to qualified institutional buyers under Rule 144A. Holders will have the right to require repurchase on June 4, 2027, and June 4, 2029, while Marathon can redeem the notes after June 5, 2029, subject to certain conditions.
