TL;DR
- CleanSpark launched a $1.15 billion convertible note offering, including a $150 million greenshoe, to expand its data centers, AI infrastructure, and repay debt.
- About $460 million will be allocated to share repurchases, while $670–$820 million will fund a 285 MW campus in Texas and the expansion of energy and land assets.
- The company is shifting from a Bitcoin miner to an AI infrastructure provider, diversifying its revenue amid declining block rewards and market volatility.
CleanSpark announced a $1.15 billion convertible note offering, including a $150 million greenshoe, aimed at funding the expansion of data centers, AI infrastructure, and debt repayment.
The zero-coupon notes, maturing in 2032, allow investors to convert them into shares or cash starting in mid-2031, with a 27.5% conversion premium. The company will use roughly $460 million for share repurchases, while the remainder, between $670 and $820 million, will fund the construction of a 285 MW Texas campus focused on AI workloads and the growth of its energy and land holdings.
The offering is part of a broader strategy: the company seeks to transition from a Bitcoin miner to an AI infrastructure provider. The reduction in block rewards following the 2024 halving, which cut payouts to 3.125 BTC per block, combined with rising mining difficulty and price volatility, is pressuring miners’ margins. CleanSpark aims to diversify its revenue by leveraging its energy assets and hardware to host AI workloads, including pilot projects such as liquid cooling with Submer.
CleanSpark Joins the Strategic Shift Among Miners
CleanSpark’s move aligns with other miners expanding into AI and data centers. IREN signed a $9.7 billion agreement with Microsoft to provide AI capacity in Texas, supported by a $5.8 billion GPU purchase from Dell.
TeraWulf launched convertible notes of up to $575 million to fund a 168 MW data center in partnership with Fluidstack, part of a $9.5 billion joint venture. These initiatives highlight how miners are turning their energy and computing assets into profitable digital infrastructure, reducing dependence on Bitcoin’s volatility.
CleanSpark expects shareholder returns to come from both BTC mining and AI service offerings. The company will combine its expertise in energy operations and computing with a growing AI market, aiming to stabilize margins and generate more predictable revenue streams
