Bitcoin Miner Stronghold Gives Back Rigs to Reduce Debt
- Miner reaches agreements with NYDIG, WhiteHawk Capital
- The miner is also restructuring a convertible note for cash
Greg Beard, chief executive officer of Stronghold Digital Mining.
Photographer: Mark Felix/BloombergBitcoin miner Stronghold Digital Mining Inc. said it reached agreements with lender New York Digital Investment Group and WhiteHawk Capital to eliminate over half its debt and add liquidity. The company will also restructure a convertible note.
Stronghold will return around 26,200 Bitcoin mining machines to NYDIG, which will eliminate all of the $67.4 million outstanding debt from an original agreement, the Kennerdell, Pennsylvania-based miner said in a statement Tuesday. Stronghold received a commitment from WhiteHawk to restructure and expand its current equipment financing agreements, which reduces near-term payments and includes $20 million of additional borrowing capacity.