Shares Of Bitcoin Miner Marathon Digital Are Moving Lower: What's Going On?

Marathon Digital Holdings Inc MARA shares are trading lower. Late Wednesday, the company announced the completion of privately negotiated convertible note exchanges.

What Happened: Marathon Digital said it completed the pricing period of its privately negotiated exchange agreements with certain holders of its 1% convertible senior notes due in 2026. 

Marathon exchanged $417 million worth of the notes for 31.7 million newly issued shares of common stock. As a result, the company reduced long-term debt by 56% and now has $331 million in outstanding notes. 

"For the first time in two years, Marathon's combined cash and bitcoin holdings now exceed its convertible debt. By generating savings that exceed the value issued in equity, improving our liquidity, and deleveraging the balance sheet, we believe we have significantly strengthened Marathon's financial profile," said Salman Khan, CFO of Marathon Digital.

Marathon Digital operates as a Bitcoin BTC/USD miner. The company owns mining machines and a data center for digital assets.

Check This Out: Watch: Rare Video Of Bitcoin Pioneer Hal Finney's 1998 Talk On Zero-Knowledge Proofs Resurfaces

MARA Price Action: Marathon Digital shares were down 3.88% at $8.91 at the time of publication, according to Benzinga Pro.

Photo: Miloslav Hamří from Pixabay.