HIVE Digital Closes $130M 0% Exchangeable Senior Notes Offering
HIVE Digital Technologies Ltd. announced the closing of a private offering by its subsidiary, HIVE Bermuda 2026 Ltd., for $130 million aggregate principal amount of 0% exchangeable senior notes due 2031. The offering included the full exercise of the initial purchasers' option for an additional $15 million in notes. The notes are guaranteed by HIVE and will mature on July 1, 2031, with an initial exchange price of $4.83 per common share, representing a 27.5% premium. The company also entered into capped call transactions to minimize dilution, with a cap price of $8.5275 per share, costing approximately $15.7 million. Net proceeds of $124.5 million will be used for general corporate purposes, capital investment, and data center development, particularly for AI and HPC growth.
Key Highlights
- Issued $130 million aggregate principal amount of 0% exchangeable senior notes due 2031.
- Notes mature on July 1, 2031, unless earlier exchanged, redeemed, or repurchased.
- Initial exchange rate is 206.9429 Common Shares per $1,000 principal, equivalent to $4.83 per share.
- Initial exchange price represents a 27.5% premium over the June 25, 2026 closing price.
- Net proceeds from the offering are estimated at approximately $124.5 million.
- Entered into capped call transactions with an initial cap price of $8.5275 per share.
- Total cost for capped call transactions was approximately $15.7 million, funded by cash on hand.
- Proceeds will fund general corporate purposes, capital investment (including GPUs), and data center development.
Price Impact
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