MARA Holdings higher by 10% after selling $1.1 billion in bitcoin to fund debt buyback
MARA Holdings stock rose 10% after selling $1.1 billion in Bitcoin to repurchase convertible debt at a discount.Summary
MARA Holdings sold approximately $1.1 billion worth of 15,133 Bitcoin between March 4 and March 25 to execute a significant balance sheet overhaul. The proceeds are being used to repurchase about $1.0 billion of its 0.00% convertible senior notes due in 2030 and 2031 at a discount, resulting in approximately $88.1 million in value generation. This strategic move reduces MARA's convertible debt by about 30%, lowering total outstanding notes from $3.3 billion to $2.3 billion, thereby mitigating future shareholder dilution risk. CEO Fred Thiel stated the sale strengthens the balance sheet for long-term growth, including expansion into AI and energy infrastructure. Following the sale, MARA retains 38,689 BTC, and its stock traded 10% higher in premarket activity.
(Source：CoinDesk)