Bitcoin Mining Stock Bitdeer Technologies Is Sliding After The Bell: What's Sparking The Sell-Off?

Bitdeer Technologies Group (NASDAQ:BTDR) shares are trading lower in Tuesday’s after-hours session after the company announced a proposed private placement of convertible senior notes.

What Happened: Bitcoin (CRYPTO: BTC) mining company Bitdeer announced plans to offer $300 million of convertible senior notes due 2031 in a private placement to institutional buyers. The company plans to grant the initial purchasers a 13-day window to purchase up to an additional $45 million of the notes.

Bitdeer expects to use a portion of the proceeds to pay the cost of a zero-strike call option transaction and to pay the cash consideration for concurrent note exchange transactions that involve privately negotiated agreements with one or more holders of 8.5% convertible senior notes due 2029.

The remaining proceeds will be used for data center expansions and ASIC-based mining rig development and manufacturing.

Bitdeer had $215.6 million in cash and cash equivalents as of March 31, as well as a total crypto balance of $131.1 million.

Last week, Bitdeer said it mined 196 Bitcoin in May, up 18.1% month-over-month. The company ended the month with a self-mining hashrate of 13.6 EH/s.

“Further, in May, we sold and shipped approximately 1.6 EH/s of our SEALMINER A2s to external customers. Our A3 Series will also be released and available for pre-order very soon,” the company said last week.

BTDR Price Action: Bitdeer shares were down 6.38% in after-hours Tuesday, trading at $12..70 at the time of publication, according to Benzinga Pro.

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