Bitdeer Technologies (BTDR) shares fell 17% to a 10-month low following the company’s announcement of a $300 million convertible senior note offering due 2032. The notes can convert into cash, shares, or a mix at Bitdeer’s discretion, with an additional $45 million underwriter greenshoe option. The miner and AI data center operator also plans a registered direct offering of Class A shares tied to a repurchase of 5.25% convertible notes due 2029.
Proceeds from the offerings will fund capped call transactions designed to mitigate dilution if new notes are converted, repurchase portions of outstanding debt, and support expansion of Bitdeer’s data centers, ASIC mining rigs, and AI cloud infrastructure. Convertible debt often creates pressure on stock prices as investors anticipate potential increases in share count upon conversion, and the market reacted preemptively to this risk despite Bitdeer’s hedging measures.
The direct share sale is contingent on completion of the note offering and related repurchases, while the note sale can proceed independently. The move underscores Bitdeer’s focus on financing growth while managing debt obligations, highlighting the balancing act between capital raising, investor concerns, and operational expansion within the crypto mining and AI infrastructure sectors.
