MARA Announces $700M Convertible Senior Note, Stock Declines by 5%

MARA Holdings (MARA) has unveiled a private offering of $700 million in convertible senior notes, set to mature in 2030. The offering is aimed at qualified institutional buyers, with an additional $105 million in notes available for purchase.

The company plans to use up to $200 million of the proceeds to buy back a portion of its 2026 convertible notes, while the remaining funds will be used for bitcoin (BTC) acquisitions, as well as to support expansion efforts, strategic acquisitions, and debt reduction.

These notes, which come due in 2030, will be convertible into cash or shares at MARA’s discretion. The interest on the notes will be paid semi-annually, but the final terms are still pending.

The news did not sit well with the market, leading to a 5% drop in MARA’s share price, which fell to $19.97 in pre-market trading.

MARA’s announcement follows similar actions by MicroStrategy (MSTR) and Tokyo-listed Metaplanet.