MARA Stock Pops on $1.1 Billion Bitcoin Sale as BTC Miner Buys Back Convertible Debt
MARA Holdings, a leading U.S. Bitcoin miner, sold about 15,000 BTC for $1.1 billion to repurchase part of its convertible debt, aiming to strengthen its balance sheet and improve financial flexibility. The sale accounts for 28% of MARA’s Bitcoin reserves, leaving the firm with approximately 38,700 BTC valued at $2.6 billion. By repurchasing debt at a 9% discount, MARA saved about $88 million and reduced its outstanding convertible debt by around 30%, minimizing future shareholder dilution. MARA’s stock price rose over 9% following the announcement. The decision reflects a broader shift among Bitcoin miners facing compressed profit margins, prompting them to liquidate holdings and invest in high-powered data centers to capitalize on AI opportunities. Industry trends suggest miners are increasingly turning to AI infrastructure due to declining Bitcoin mining profitability, with projections that up to 70% of miners’ revenues could come from AI by year-end.
