Bitdeer has closed its private placement of $330 million 4.875% Convertible Senior Notes due 2031, and simultaneously secured a zero-strike call option on roughly 10.2 million BTDR Class A shares to backstop potential conversions.
The notes, which bear interest semi-annually at 4.875% and mature on July 1, 2031, carry an initial conversion rate of 62.9921 Class A ordinary shares per $1,000 principal amount. This translates to a conversion price of about $15.87 per share, and a roughly 44% conversion premium based on the current $11 share price. If fully converted, the $330 million would translate into approximately 20.8 million shares.
To ensure it can deliver shares upon conversion, Bitdeer prepaid a $129.6 million premium to Barclays Bank PLC on June 23, 2025 for a European-style call option with a strike price of zero. The option covers 10,205,300 shares, or about 49% of the maximum conversion amount, allowing Bitdeer to source shares from Barclays’ inventory rather than reserving them on its own balance sheet.
Convertible bonds offer a lower interest rate to borrowers by embedding a long-term call option into a straight bond. The call option effectively gives bond investors the right but not the obligation to convert their bond into common stock at the conversion rate. Convertible bonds have been used by a handful of companies in the Bitcoin space to secure low-cost financing.
On the operations front, Bitdeer has been ramping capacity worldwide. In April 2025, Bitdeer energized 132 MW at its Jigmeling, Bhutan site and 70 MW at its Tydal, Norway site.
In recent news, Bitdeer closed an all-cash $21.7 million deal in February for a fully licensed 101 MW site and gas-fired power project near Fox Creek, Alberta. The purchase came complete with permits for a 99 MW grid interconnection and an on-site natural gas plant expected to be energized by Q4 2026.
Blockspace reached out to Bitdeer for comment. Check back for updates.
