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HIVE Raises $75 Million in Zero-Coupon Notes for AI Cloud Pivot and TSX Up-Listing

The equity-linked notes supply cash for GPUs with capped-call hedges to limit share dilution.

Overview

  • HIVE said it will sell $75 million of zero-coupon exchangeable senior notes due 2031 through a Bermuda subsidiary, with an option to add $15 million within 13 days.
  • The notes pay no interest and can be exchanged into cash, HIVE common shares, or a mix after final pricing sets the initial exchange rate.
  • HIVE plans to use the money to buy graphics chips and expand data centers as it shifts from pure bitcoin mining to AI and high-performance computing work.
  • To curb dilution if investors exchange the notes into stock, the company plans capped-call hedges funded with cash on hand and may reimburse those costs from the offering.
  • The pivot follows new GPU capacity in Paraguay and a phasedown of ASIC mining in Sweden as that site is converted to a Tier-III HPC center, alongside conditional approval to move its listing from the TSX Venture Exchange to the TSX with key requirements due by June 30.