Marathon Digital HoldingsInc MARA shares are trading lower. Late Wednesday, the company announced the completion of privately negotiated convertible note exchanges.
What Happened: Marathon Digital said itcompleted the pricing period of itsprivately negotiated exchange agreements with certain holders of its1% convertible senior notes due in 2026.
Marathon exchanged$417 million worth of the notes for31.7 million newly issued shares ofcommon stock. As a result, the company reduced long-term debt by 56% and now has $331 million in outstanding notes.
"For the first time in two years, Marathon's combined cash and bitcoin holdings now exceed its convertible debt. By generating savings that exceed the value issued in equity, improving our liquidity, and deleveraging the balance sheet, we believe we have significantly strengthened Marathon's financial profile,"said Salman Khan, CFO of Marathon Digital.
Marathon Digital operates as aBitcoin BTC/USD miner.The companyowns mining machines and a data center fordigital assets.
Check This Out:Watch: Rare Video Of Bitcoin Pioneer Hal Finney's 1998 Talk On Zero-Knowledge Proofs Resurfaces
MARA Price Action: Marathon Digital shares were down 3.88% at $8.91 at the time of publication, according toBenzinga Pro.
Photo:Miloslav Ham?from Pixabay.
