CleanSpark Shares Plunge 6.5% As It Upsizes Convertible Bond

CleanSpark shares plunged 6.5% after the Bitcoin mining firm said it would upsize its convertible bond offering to $1.15 billion.

It announced the Convertible Senior Notes offering, which is being led by Cantor Fitzgerald and BTIG, on X, after earlier saying it would raise $1 billion.

Shares in the offering won’t pay any interest and also won’t increase in value over time. 

https://t.co/MdSn9YxoMh

— CleanSpark Inc. (@CleanSpark_Inc) November 11, 2025

The company estimated that it will be able to raise approximately $1.13 billion in net proceeds, or $1.28 billion if the initial buyers exercise their full options to purchase more convertible notes during the 13-day option period. 

Of those estimated proceeds, Cleanspark said it will use $460 million to repurchase common stock from investors. The company said that it will engage in “privately negotiated transactions” for these repurchases at a share price of $15.03 or the Nasdaq closing price on Monday. 

The remaining proceeds will be used to expand the company’s power and land portfolio, as well as develop data center infrastructure, repay its outstanding Bitcoin-backed credit balances, and cover general corporate expenses. 

The offering is expected to close on Nov. 13, subject to satisfactory closing conditions. CleanSpark will also not be able to redeem the notes until 2029, unless certain conditions are met, but investors can force the company to buy the notes back if there are any major corporate changes. 

This latest offering follows nearly a year after the company raised $550 million in a similar private convertible note offering that closed on Dec. 17 last year.  It also mirrors similar offerings by Terawulf and Galaxy Digital.

Bitcoin Mining Firms Expand Into AI

CleanSpark is the second-largest Bitcoin mining firm globally after Marathon Holdings, with an operating hashrate of 46.60 exahashes per second (EH/s), data from Bitcoinminingstock.io shows. 

In recent months, several major mining companies have been expanding into AI data infrastructure as part of an effort to diversify their revenue streams. This is partly due to pressure from the latest Bitcoin halving event, which slashed mining rewards in half.

Amplifying the pressure on miners is the soaring Bitcoin network difficulty and the decline in BTC’s price in recent weeks.

Bitcoin network difficulty compared to Bitcoin price (Source: Blockchain.com)

On Oct. 20, when CleanSpark first announced its AI expansion, its share price soared 13%. 

Competing Bitcoin mining company IREN expanded into AI earlier in the year, and announced that it signed a five-year agreement valued at $9.7 billion to provide Microsoft with access to Nvidia GPUs that are hosted in IREN’s data centers. 

More recently, Rumble announced that it is acquiring Northern Data AG, which includes a large Bitcoin mining operation and more than 20,000 Nvidia H100 GPUs. 

Meanwhile, in June, Core Scientific announced a $3.5 billion deal with AI cloud provider CoreWeave to provide an additional 200 megawatts of infrastructure to host the firm’s high-performance computing operations.

That AI expansion may have saved Core Scientific’s business, given the firm filed for Chapter 11 bankruptcy back in 2022. Two years later, the company was relisted on the Nasdaq ahead of its move into the AI sector.

According to a recent report by BitBo, approximately 70% of the top-10 Bitcoin mining firms are now generating revenue from AI and high-performance center initiatives. 

Another report showed that mining stocks tied to AI pivots are seeing outsized multiple uplifts compared to pure mining peers. It said that companies that have made AI moves are trading at around $6 million per megawatt capacity, compared to around $3 million for pure Bitcoin mining firms.

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