- Bitfarms Limited (BITF) has signed an equipment financing agreement, with initial funding of US$37 million, with NYDIG ABL LLC
- Bitfarms has also reduced its $100 million Bitcoin-backed credit facility with Galaxy Digital LLC by $34 million to $66 million via the sale of 1,500 of its BTC holdings
- The NYDIG equipment financing agreement provides non-dilutive funding of Bitfarms’ miners to support growth in Quebec
- The agreement provides equipment financing at an annual interest rate of 12 per cent
- Bitfarms is a global Bitcoin self-mining company
- Bitfarms Ltd. opened trading at $1.69
Bitfarms Limited (BITF) has signed an equipment financing agreement with NYDIG ABL LLC., with initial funding of US$37 million.
Bitfarms has also reduced its $100 million Bitcoin-backed credit facility with Galaxy Digital LLC by $34 million to $66 million via the sale of 1,500 of its BTC holdings.
“We have proactively taken non-dilutive strategic actions to increase our financial liquidity and flexibility during this period of macroeconomic crypto challenges,” stated Jeff Lucas, CFO of Bitfarms.
“Now we are better positioned to opportunistically consider potential farm expansion or acquisitions that arise as a result of recent market conditions,” he added.
The NYDIG equipment financing agreement provides non-dilutive funding to support Bitfarms’ growth in Quebec.
The agreement provides equipment financing at an annual interest rate of 12 per cent collateralized by the miners at the company’s Leger and Bunker facilities, funded as the assets are installed and become operational.
Initial funding of $37 million, or $36 million net of closing fees of $740,000, has been completed with additional fundings contemplated in July and October 2022 as construction continues at the bunker and more equipment is installed.
Bitfarms elected to reduce its $100 million BTC-backed credit facility to $66 million, funded through the sale of 1,500 BTC. Borrowings under this credit facility stand at $66 million as of June 15, 2022.
As previously announced, Bitfarms will be hosting an Analyst and Institutional Investor Day on June 22, 2022, both online and in-person in Montreal.
Bitfarms is a global Bitcoin self-mining company, running vertically integrated mining operations with onsite technical repair, proprietary data analytics and company-owned electrical engineering and installation services to deliver high operational performance and uptime.
Bitfarms Ltd. opened trading at $1.69.