Cipher Digital Inc. (NASDAQ: CIFR) is set to offer $850 million in convertible senior notes due 2032 through a private placement aimed at institutional buyers.
The company is also providing an option for initial purchasers to acquire an additional $150 million in notes within a 13-day period.
The notes, which will mature on November 1, 2032, are senior unsecured obligations that do not bear regular interest or accrete in principal amount.
Conversion of the notes is conditional until August 1, 2032, after which they can be converted at any time until two days before maturity.
Proceeds from the offering will be used for capped call transactions, equity investment in the Barber Lake project, expansion of high-performance computing strategies, and general corporate purposes.
Shares of Cipher Mining Inc. (NASDAQ: CIFR) are down 11.77% in pre-market trading, currently priced at $11.47. This represents a decrease of $1.53 from the previous close of $13.00. The shares continue to trade between their 52-week low of $11.72 and high of $30.14.