Mara Holdings Debt Raise: Company Plans $1B Sale to Buy More Bitcoin
Mara Holdings, one of the largest publicly traded Bitcoin mining firms, has released a bold financing plan: the company aims to raise up to $1 billion through a debt raise to support its Bitcoin acquisition strategy and operational needs.
In Brief
- Mara Holdings plans to raise up to $1 billion through zero-interest convertible notes.
- Proceeds will go toward repurchasing debt, corporate expenses, and acquiring more Bitcoin.
- The move aligns with Mara’s broader strategy to expand BTC holdings, already second only to Strategy.
The Mara Holdings debt raise plan
According to a July 24 announcement, Mara will offer $850 million in convertible senior notes due in 2032 to qualified institutional buyers. These zero-interest notes may expand by an additional $150 million, depending on buyer interest, bringing the potential total offering to $1 billion. The proceeds will be used for a combination of strategic objectives, including repurchasing $50 million of existing debt due in 2026, funding corporate expenses, covering capped call transactions, and buying more Bitcoin.
The notes are unsecured and will not bear interest, signaling confidence in market momentum and Mara’s long-term prospects. However, the offering is still subject to market conditions, and final terms may vary.
Aggressive Bitcoin strategy
This new financing move is part of Mara’s broader plan to increase its Bitcoin exposure and mining operations. A few weeks earlier, the company acquired a minority stake in Two Prime, a digital asset manager with $1.75 billion in assets. This deal significantly boosted Mara’s Bitcoin holdings.
In recent months, Mara has also seen record performance. Its BTC production surged 35% in May, even amid rising mining difficulty and network hashrate. Annualized mining revenue has now exceeded $752 million, setting a new all-time high for the company.
According to Bitcoin Treasuries data, Mara holds 50,000 BTC, making it the second-largest corporate Bitcoin holder behind Strategy (607,000 BTC). This debt-based funding approach mirrors Strategy’s ongoing moves to raise capital for continued Bitcoin accumulation.
A calculated bet on Bitcoin’s future
Mara’s announcement also follows a March filing to potentially raise up to $2 billion through equity sales. Like Strategy, Mara is doubling down on Bitcoin, leveraging both stock and debt to expand its holdings and maintain a leading position in the institutional mining space.
If market conditions remain favorable, Mara’s latest $1 billion play could not only strengthen its Bitcoin treasury but also intensify its competitive stance in the ongoing corporate Bitcoin accumulation race.
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I've been passionate about crypto for nearly a decade, ever since I was young and first became curious about investing. That early spark led me to years of research, writing, and exploring the future of decentralized tech.
The views, thoughts, and opinions expressed in this article belong solely to the author, and should not be taken as investment advice. Do your own research before taking any investment decisions.