Bitdeer Technologies Group is set to launch a $150 million convertible notes offering, offering an annual interest rate of 8.5%. The offering is scheduled to conclude on August 20, 2024, and is part of a larger trend in the Bitcoin mining industry, where companies have raised a total of $2.1 billion through stock offerings since Q2.
Bitdeer’s Convertible Notes Offering: Focus on Expansion and Innovation
The convertible notes will mature in 2029 and can be converted into Bitdeer’s Class A ordinary shares at an initial rate of 117.0207 shares per $1,000 principal amount, equivalent to a conversion price of approximately $8.55 per share. This price represents a 35% premium over the last recorded sale price of $6.33 on August 15, 2024.
Bitdeer plans to use around $144.5 million of the net proceeds to expand its data centers, develop application-specific integrated circuit (ASIC)-based mining rigs, and for other corporate purposes. This move follows a broader trend in the industry, where companies like MARA, Hive, Core, Terawulf, Cleanspark, Riot, Bitfarms and Cipher have collectively raised $2.1 billion through stock offerings since the second quarter, according to theminermag.com.
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The 8.5% annual yield offered by Bitdeer stands out in comparison to other mining firms, which may attract investors more rapidly. Following the announcement, Bitdeer’s shares (BTDR) saw a 2.05% increase, though they have fallen 15.7% over the past five days. The offering is being managed by BTIG, with A.G.P./Alliance Global Partners, The Benchmark Company, Needham & Company, and Roth Capital Partners serving as co-managers.
Cre: news.bitcoin
I’m Jessi Lee, currently living in Singapore. I am currently working as a trader for AZCoin company, with 5 years of experience in the cryptocurrency market, I hope to bring you useful information and knowledge about virtual currency investment.
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