MARA Holdings, Inc. Completes $1 Billion Convertible Notes Offering

MARA Holdings, Inc. (NASDAQ: MARA) has successfully concluded its private offering of 0.00% convertible senior notes due 2030 on November 20, 2024. The notes, totaling $1 billion in aggregate principal amount, were sold under a purchase agreement with Initial Purchasers including J.P. Morgan Securities LLC and Barclays Capital Inc. The notes were issued at 100% of their principal amount, generating approximately $980 million in net proceeds for MARA after accounting for discounts and commissions.

A significant portion of the proceeds – around $199 million – is earmarked for repurchasing $212 million of the company’s existing convertible notes due 2026 through privately negotiated transactions. The remainder of the funds will be utilized for acquiring additional Bitcoin and for general corporate purposes such as working capital, strategic acquisitions, expanding existing assets, and debt repayment.

The notes carry no regular interest and do not accrete in principal amount. They are convertible into shares of MARA’s common stock at an initial conversion rate of 38.5902 shares per $1,000 principal amount of notes, equating to an initial price of around $25.9133 per share. Holders may begin converting the notes from December 1, 2029, until the maturity date in 2030.

Additionally, MARA entered into an indenture for the notes with U.S. Bank Trust Company, National Association, as trustee, outlining terms including special interest payments, maturity date, conversion options, and redemption terms. The offering falls under exemptions from registration requirements provided by the Securities Act, with conversions settled in cash, common stock, or a combination of both at MARA’s discretion.

For further details on the offering, the full Indenture and a press release detailing the completion of the notes offering are accessible on the company’s Form 8-K filing with the Securities and Exchange Commission dated November 20, 2024.

Investors are encouraged to review the associated risks and forward-looking statements outlined in MARA’s regulatory filings for a comprehensive understanding of the factors affecting future outcomes and financial performance.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read MARA’s 8K filing here.

About MARA

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MARA Holdings, Inc operates as a digital asset technology company that mines digital assets with a focus on the bitcoin ecosystem in United States. The company was formerly known as Marathon Digital Holdings, Inc and changed its name to MARA Holdings, Inc in August 2024. MARA Holdings, Inc was incorporated in 2010 and is headquartered in Fort Lauderdale, Florida.

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