IREN Raises $2.3B and Repurchases Debt in Balance Sheet Overhaul
IREN, a bitcoin mining company, completed a significant refinancing deal involving a $2.3 billion convertible senior notes offering alongside a $544.3 million repurchase of existing notes. The new issuance includes $1 billion of 0.25% notes due in 2032, $1 billion of 1% notes due in 2033, and a fully exercised $300 million greenshoe option.
These combined transactions generated approximately $2.27 billion in net proceeds, which will be used to extend IREN's debt maturity profile, reduce its cash coupon burden, and support the expansion of its bitcoin mining and data-center operations. The repurchased notes consist of $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 (conversion price $16.81). Funding for the repurchase was secured through a registered direct placement of about 39.7 million ordinary shares.
To hedge against potential dilution from note conversion, capped-call transactions were employed, offering protection up to $82.24 per share. The notes do not include investor put rights beyond standard provisions related to fundamental changes.
Following the announcement, IREN's stock fell 1% in pre-market trading to $45, which remains approximately 40% below its November all-time high.
