HIVE Digital raises $100M via zero-coupon notes due 2031

HIVE Digital Technologies raised $100 million through a private offering of 0% exchangeable senior notes due 2031, the Bitcoin miner said June 25.

The zero-coupon structure allows the company to preserve cash while accessing growth capital, HIVE said in a statement tied to its amended prospectus supplement dated June 16, 2026, and base shelf prospectus from October 31, 2025.

The offering follows HIVE's updated equity distribution agreement, which permits sales of up to $300 million in common shares through an at-the-market program. HIVE shares fell 8.7% on a recent insider selling disclosure, according to market data. The company is headquartered in San Antonio, Texas, and trades on the Nasdaq under the ticker HIVE with a market capitalization of approximately $1.2 billion.

The $100 million in debt capital, with no cash interest payments until the 2031 maturity, gives HIVE financial flexibility to acquire next-generation ASIC miners or expand data center infrastructure. The move comes as Bitcoin miners compete for limited supply of new mining hardware after the April 2024 halving reduced block rewards to 3.125 BTC, squeezing margins across the sector and forcing operators to seek cheaper capital sources.

HIVE has also expanded beyond pure mining, completing its first artificial intelligence research project, the company previously announced. The dual focus on Bitcoin mining and AI computing reflects a broader trend among publicly listed miners such as Core Scientific and Iris Energy, which have repurposed data center capacity for high-performance computing workloads to capture higher-margin revenue streams outside of block rewards.

Bitcoin traded near $67,000 at the time of the announcement, with mining sector profitability under pressure as network hashrate reached all-time highs above 600 EH/s, according to Hashrate Index data. HIVE's ability to raise $100 million in debt at zero coupon suggests institutional confidence in the company's operational strategy and the long-term value proposition of Bitcoin mining, even as the industry navigates post-halving economics that have reduced daily coin issuance to approximately 450 BTC across all miners.

The exchangeable notes structure gives noteholders the option to convert into HIVE common shares at a premium to the current stock price, potentially limiting dilution compared with a straight equity offering. The 2031 maturity date provides a five-year runway for capital deployment without near-term refinancing risk, a critical advantage in a capital-intensive industry where miners must continuously upgrade hardware to remain competitive. Proceeds from the offering are expected to be allocated toward ASIC procurement, facility expansion, and working capital.

This article is for informational purposes only and does not constitute investment advice.