Business
Marathon Digital Holdings Expands Credit Facilities, Increasing Debt Funding Capacity by $100 Million
LAS VEGAS, Aug. 01, 2022 (GLOBE NEWSWIRE) -- Marathon Digital Holdings, Inc. (NASDAQ:MARA) ("Marathon" or "Company"), a leader in supporting and securing the
About this update from Mara Holdings, Inc.
[{"type":"text","content":"LAS VEGAS, Aug. 01, 2022 (GLOBE NEWSWIRE) -- Marathon Digital Holdings, Inc. (NASDAQ:MARA) (\"Marathon\" or \"Company\"), a leader in supporting and securing the Bitcoin ecosystem, has expanded its credit facilities with Silvergate Bank, the leading provider of innovative financial infrastructure solutions to the digital currency industry, by refinancing its existing $100 million revolving line of credit and adding an additional $100 million term loan on July 28. The $100 million term loan includes a delayed draw feature that grants Marathon the ability to draw $50 million at the time of closing and an additional $50 million up to 270 days after closing. The term loan carries a variable interest rate with the initial draw currently priced at 7.25%. The Company also announced the refinancing of the $100 million revolving line of credit that was previously set to expire in October 2022. There are no amounts outstanding under the revolving credit facility at this point. Both facilities are secured by bitcoin and mature in July 2024. “We are pleased to be closing on these debt facilities and believe that the combination of a term loan and revolver provide Marathon with exceptional flexibility as to our funding options,” said Hugh Gallagher, Marathon’s CFO. “With these facilities in place, we have achieved our goals of adding both capacity and optionality in financing our future operations growth. We thank the team at Silvergate for their engagement as we collaborated to put these facilities in place.” Investor Notice Investing in our securities involves a high degree of risk. Before making an investment decision, you should carefully consider the risks, uncertainties and forward-looking statements described under \"Risk Factors\" in Item 1A of our most recent Annual Report on Form 10-K for the fiscal year ended December 31, 2021, filed with the SEC on March 10, 2022 and Quarterly Report on Form 10-Q for the fiscal quarter ended March 31, 2022, filed with the SEC on May 5, 2022. If any of these risks were to occur, our business, financial condition or results of operations would likely suffer. In that event, the value of our securities could decline, and you could lose part or all of your investment. The risks and uncertainties we describe are not the only ones facing us. Additional risks not presently known to us or that we currentl...