Overview
- The upsized private offering issues 0% convertible senior notes due February 15, 2032, with an initial conversion price of about $19.16 per share, a roughly 27.5% premium.
- CleanSpark earmarked approximately $460 million to repurchase common stock at $15.03 per share through privately negotiated transactions with note investors.
- Remaining proceeds are designated for expanding power and land assets, building data-center infrastructure for AI and high-performance computing, and repaying bitcoin-backed credit lines.
- Initial purchasers received a 13-day option to buy up to an additional $150 million of notes, with closing expected around November 13 under a Rule 144A placement led by Cantor Fitzgerald and BTIG.
- Shares fell several percent following the announcement, a move outlets attributed to typical delta-hedging activity seen in similar convertible offerings by crypto miners.