Bitcoin miner IREN (IREN) has completed a refinancing that combines the issuance of $2.3 billion in convertible senior notes and the repurchase of $544.3 million in existing convertible notes.
The new issuance includes $1 billion in 0.25% notes due in 2032, $1 billion in 1% notes due in 2033, and $300 million in fully exercised greenshoes to meet excess demand.
IREN also executed capped call transactions intended to hedge against equity dilution if the notes were converted, providing protection up to an initial $82.24 per share. The notes do not include any investor put rights, except for standard provisions related to fundamental changes, according to the announcement.
The repurchase included $316 million of 3.50% notes due 2029 with a conversion price of $13.64 and $227.7 million of 3.25% notes due 2030 with a conversion price of $16.81. The share repurchase was funded by a registered direct issuance of approximately 39.7 million shares of common stock.
The combined transaction resulted in net proceeds of approximately $2.27 billion, reduced IREN’s average annual cash coupon burden and extended the maturity profile of its convertible notes.
After covering capped call costs and buybacks, IREN plans to use the remaining proceeds for general corporate purposes and working capital to support the continued expansion of its Bitcoin mining and data center operations.
IREN fell 1% in premarket trading to $45 a share, about 40% below its all-time high in November.
