tl;dr
Publicly traded Bitcoin miner Bitdeer plans to raise $330 million through a convertible notes offering, increased from an initial $300 million, with an option for an additional $45 million. The 4.875% notes are due in 2031, with the sale expected to close by June 23. Unlike other crypto firms using ...
Bitdeer, a publicly traded Bitcoin miner, plans to raise $330 million through a convertible notes offering, an increase from the initially planned $300 million, with an option to add another $45 million. These 4.875% notes due in 2031 are expected to close by June 23. Unlike many crypto firms that use such offerings to accumulate Bitcoin, Bitdeer intends to allocate the funds primarily to settle zero-strike call options ($129.6 million), pay cash considerations ($36.1 million), and finance data center expansion, mining rig development, and general corporate purposes.
Despite holding 1,351 Bitcoin valued at about $140 million—a significant increase since December—and experiencing an 18% rise in Bitcoin mined from April to May, Bitdeer’s stock has struggled. Its shares dropped over 7% to $11.80, continuing a downward trend with a 12% decline over the past week and 23% in the last month. The company faces a challenging environment, reflected in ongoing losses that echo broader difficulties faced by publicly traded Bitcoin miners this year.
While Bitdeer's strategy differs from aggressive Bitcoin accumulation tactics seen in peers like Marathon Digital Holdings and Riot Platforms, it still shows steady growth in Bitcoin holdings. However, the firm has not confirmed whether some of the general corporate funds might eventually support Bitcoin purchases. The broader backdrop includes a historically tough market for Bitcoin miners, exemplified by March’s performance being described as the worst ever for this segment by JP Morgan.