InvestorWire NewsRoom

InvestorNewsBreak

InvestorNewsBreaks — Stronghold Digital Mining Inc. (NASDAQ: SDIG) to Extinguish Convertible Notes Through Exchange Agreement
January 3, 2023

InvestorNewsBreaks — Stronghold Digital Mining Inc. (NASDAQ: SDIG) to Extinguish Convertible Notes Through Exchange Agreement

Stronghold Digital Mining (NASDAQ: SDIG), a vertically integrated Bitcoin mining company with an emphasis on environmentally beneficial operations, has entered into an exchange agreement with the holders of the company’s amended and restated 10% notes. According to the announcement, the result is that the approximately $17.9 million of outstanding principal amount of debt and interest will be extinguished in exchange for shares of a new series of convertible preferred stock; the face value of the new shares will total an estimated $23.1 million. The closing, which is subject to customary conditions, will occur as soon as practicable following the satisfaction or waiver but no later than Feb. 20, 2023. “We are pleased to announce another deleveraging transaction that is expected to materially reduce our debt, strengthen our balance sheet and improve our liquidity position,” said Stronghold Digital Mining cochair and CEO Greg Beard in the press release. “We acknowledge the significant number of shares of common stock that could be issued as a result of the exchange agreement, but we believe this is necessary to preserve cash, reduce our financial obligations and better position the company to survive a potentially prolonged crypto market downturn. Following the closing of the exchange agreement, which is currently expected to occur in February 2023, the company expects to have less than $55 million in total principal amount of debt outstanding. We believe that the transaction will also create comprehensive equity alignment among existing Stronghold shareholders and the noteholders, which is critical in this time of stress on the industry.”

To view the full press release, visit https://ibn.fm/Ql6gK

About Stronghold Digital Mining Inc. 

Stronghold is a vertically integrated Bitcoin mining company with an emphasis on environmentally beneficial operations. Stronghold houses its miners at its wholly owned and operated Scrubgrass Plant and Panther Creek Plant, both of which are low-cost, environmentally beneficial coal refuse power generation facilities in Pennsylvania. For more information about the company, please visit www.StrongholdDigitalMining.com.

About InvestorWire

InvestorWire is the wire service that gives you more. From regional releases to global announcements presented in multiple languages, we offer the wire-grade dissemination products you’ll need to ensure that your next press release grabs the attention of your target audience and doesn’t let go. While our competitors look to nickel and dime you with hidden fees and restrictive word limits, InvestorWire keeps things transparent.

As part of its service, InvestorWire provides coverage of noteworthy announcements. To further expand visibility of achievements being made throughout a multitude of sectors, InvestorWire’s syndication partners have extended the digital coverage to include individual broadcasts on financial websites and platforms visited by millions of investors daily.

For more information, please visit https://www.investorwire.com

Please see full terms of use and disclaimers on the InvestorBrandNetwork website applicable to all content provided by IBN, wherever published or re-published: http://ibn.fm/Disclaimer

InvestorWire (IW)
8033 Sunset Blvd Suite 1037-IW
Los Angeles, CA 90046
310.299.1717 Office
www.investorwire.com
[email protected]

InvestorWire is part of the InvestorBrandNetwork

Recent NewsBreaks

NewsBreaks Categories

Get Started with InvestorWire

To distribute a release in the next 24 hours. Contact our client services team.

(310) 299-1717

Distribute a press release. Submit your release to get started.

Submit Press Release

Set up a Live demonstration. Schedule a date and time that works for you.

Schedule a LIVE Demo

Press Distribution

Explore Press Distribution Solutions

All releases include an unlimited word count* with full wire-grade syndication, our press release enhancement service, and a follow-up InvestorNewsBreak article distributed to thousands of editorial syndication partners.

Discover Add-on Solutions

Increase the impact of your achievements by adding these exclusive solutions from InvestorWire, delivered in conjunction with the InvestorBrandNetwork (IBN).