Bitfarms Plans $300 Million Convertible Notes Offering as Bitcoin Miner Financing Wave Builds
Bitfarms Ltd. (NASDAQ/TSX: BITF) announced Wednesday it intends to raise $300 million through a private offering of convertible senior notes due 2031, joining a growing number of Bitcoin mining firms tapping debt markets to fund expansion into high-performance computing and data infrastructure.
The Canadian-based company said the notes will be senior unsecured obligations accruing semiannual interest and maturing on January 15, 2031. The initial purchasers will also have a 13-day option to buy an additional $60 million in notes. Conversion into cash, Bitfarms shares, or a mix of both will be permitted under specified conditions, with final terms including the interest rate and conversion price to be set upon pricing.
Bitfarms said proceeds from the sale will go toward general corporate purposes and to fund capped call transactions designed to reduce potential dilution upon conversion. The offering remains subject to market conditions and Toronto Stock Exchange approval.
The move comes amid an industry-wide return to large-scale debt financing. Earlier this month, Australia-based IREN Limited (NASDAQ: IREN) completed a $1 billion convertible notes sale to fund its AI cloud buildout, while TeraWulf (NASDAQ: WULF) launched a $3.2 billion senior secured notes offering to finance its data center expansion in New York.
Together, these transactions underscore a marked shift from the mining sector’s post-2022 deleveraging to a renewed cycle of credit-driven growth, as companies seek to scale power infrastructure and diversify into AI and high-performance computing services.
Bitfarms recently converted a $300 million Macquarie facility into project-specific financing to support its Panther Creek AI data center campus in Pennsylvania, part of its broader effort to evolve from a pure-play Bitcoin miner to an integrated digital infrastructure operator.
