MARA Holdings (MARA) sold 15,133 bitcoins for approximately $1.1 billion between March 4 and 25 to fund a major overhaul of its balance sheet.
The Company is using the redemption proceeds to repurchase approximately $1.0 billion of its 0.00% convertible senior notes due 2030 and 2031 at a discount.
In total, MARA will repurchase $367.5 million of its 2030 notes for $322.9 million and $633.4 million of its 2031 notes for $589.9 million. Discounted purchases, approximately 9% below face value, will generate approximately $88.1 million in value, the company said.
MARA was 10% higher in premarket trading.
Beyond the immediate savings, the transaction significantly reshapes MARA’s capital structure. The buybacks will reduce its convertible debt by about 30%, reducing total outstanding convertible bonds from about $3.3 billion to $2.3 billion. This also reduces the risk of future shareholder dilution associated with conversions.
“Our decision to sell a portion of our bitcoin holdings reflects a strategic capital allocation decision intended to strengthen our balance sheet and position the company for long-term growth,” said CEO Fred Thiel.
MARA now holds 38,689 BTC following the sale.
