Bitdeer Stock Drops 17% on $300M Convertible Note Sale

Shares in Bitdeer Technologies Group fell sharply after the company announced a $300 million convertible senior note offering, with an option for purchasers to buy an additional $45 million in a private placement. This is Bitdeer’s second convertible offering, following a $150 million deal in April 2024 that also sparked an 18% slump in the stock.

The new notes are senior unsecured obligations due to settle in 2032, carry semiannual interest payments and can be converted into cash, shares, or a combination of both. Convertible senior notes can be turned into common stock, and holders have priority over other debt holders in the event of bankruptcy.

Bitdeer said it will use the proceeds for data center expansion, AI cloud growth, development of crypto mining rigs and general corporate purposes. The company is headquartered in Singapore and operates data centers in the US, Norway and Bhutan. Shares of Bitdeer (BTDR) closed down 17.38% at $7.94 on Thursday and traded slightly lower in after-hours trading at $7.89.

Singapore

bitdeer, btdr, convertible note, 300 million, private placement, senior unsecured, stock drop, data center, crypto mining, singapore