On October 2, Cointelegraph reported that Bitcoin mining company Hut 8 repaid the balance of approximately $38 million in loans from Anchorage Digital through a stock conversion. Anchorage Digital converted the debt into common stock at a price of $16.395 per share.
The converted share price represents a 51% premium to the 20-day volume-weighted average price ending September 26. Hut 8's share price opened at $12.30 on October 1 and closed at $11.15.
It is reported that Hut 8 used 21,000 mining machines as collateral when it restructured its Anchorage Digital loan in February 2023. The company still has about $290 million in debt. Hut 8's remaining debt includes a $150 million convertible note reached with Coatue Management in June, which is specifically used for the mining company's expansion into the artificial intelligence computing market.
