Overview
- Bitmine priced an upsized sale of 3.5 million Series A perpetual preferred shares at $80 each on Friday, bringing expected net proceeds to about $273.8 million with the offering set to close on June 10 and the new securities applied to list on the NYSE as BMNP.
- The company says proceeds may be used to buy additional Ethereum, expand its MAVAN staking and validator network, and for general corporate purposes including potential common-stock repurchases.
- The preferred pays a cumulative 9.50% annual dividend based on a $100 stated value, payable weekly if declared, and unpaid dividends compound with step-up mechanics that can raise the effective rate up to a 15% cap.
- Bitmine already holds roughly 5.3–5.42 million ETH and is close to its 5% supply target, but its ETH treasury shows multi‑billion‑dollar unrealized losses and current Ethereum staking yields of about 3–5% are materially below the 9.5% coupon.
- The move mirrors Strategy’s preferred‑stock playbook for crypto treasuries, has weighed on Bitmine’s common share price, and highlights broader investor concern because similar preferreds have traded below par and concentrated corporate ETH holdings can affect market dynamics.