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Bitfarms Prices Upsized $500 Million Convertible Notes as Shares Slide

The company is raising funds for an AIHPC buildout with capped calls designed to curb dilution.

Overview

  • Bitfarms increased its convertible senior notes offering to $500 million at a 1.375% coupon, due Jan. 15, 2031, with an initial conversion price of about $6.86 per share (a 30% premium).
  • The financing includes capped call transactions with an initial cap of $11.88 per share (about a 125% premium) to offset potential dilution, funded from proceeds or cash on hand.
  • Initial purchasers received a 13‑day option to buy an additional $88 million of notes.
  • The company expects the private placement to close on or around Oct. 21, subject to customary conditions including Toronto Stock Exchange approval.
  • Shares fell roughly 18% on the announcement as investors weighed dilution risk, even as the raise supports Bitfarms’ shift from bitcoin mining toward AI and high‑performance computing.