Étienne Girard
Bitfarms Ltd. (ticker: BITF), a leading Bitcoin mining and digital infrastructure company, has announced plans to raise $300 million through an offering of convertible notes.
The notes, which are unsecured and set to mature in 2031, can be converted into cash or common shares—or a mix of both—at Bitfarms’ discretion. They will pay interest semi-annually, starting in July 2026.
According to the company, the proceeds will be used for general corporate purposes, including capped call transactions designed to limit potential dilution from future note conversions. Bitfarms also intends to negotiate private agreements with select investors to cap dilution around a 125% premium to its current share price.
Bitfarms’ shares rose nearly 10% to $6.46 on Wednesday before dropping 4.5% in after-hours trading, following the announcement of the offering, according to data from PRIME.
In recent years, Bitcoin mining firms have increasingly turned to convertible notes and creative financing strategies to secure low-cost capital for expansions into AI, high-performance computing (HPC), and bitcoin acquisitions—particularly in the volatile post-halving environment.
Just this month, Cipher Mining raised $1.1 billion through an upsized convertible note sale, while TeraWulf announced plans for a $3 billion debt offering backed by Google.
Convertible Notes Offer Strategic Flexibility
Convertible notes have become a preferred funding tool among crypto and tech firms as they allow companies to raise funds without immediately diluting their share value, while still offering investors upside potential through future conversion.
Bitfarms’ decision to leverage this structure reflects a strategic balance between growth financing and shareholder protection.
Leadership Changes and U.S. Redomiciling Plans
Earlier this week, Bitfarms appointed Jonathan Mir, a veteran energy sector advisor and investment banker, as its new Chief Financial Officer.
The company also revealed intentions to redomicile in the United States, driven by strong revenue growth and President Donald Trump’s public support for the Bitcoin mining industry.
Strengthening Position Through Share Buybacks
In addition to its latest fundraising initiative, Bitfarms recently completed a share repurchase program, buying back 10% of its public float—a move that underscores the company’s confidence in long-term value creation.
