Argo Blockchain raises $57.5 million in debt funding

British mining company Argo Blockchain intends to raise $ 57.5 million through the placement of debt securities in the US.

According to the form filed with the SEC, Argo will offer a subscription for senior bonds with a coupon rate of 8.75% and maturity on November 30, 2026. The minimum par value of securities will be $ 25.

In connection with the placement, the company sent an application for listing the bonds on the Nasdaq under the ticker ARBKL. If confirmed, trading is expected to begin within 30 business days of the first bond issue.

The independent rating agency Egan-Jones Ratings Company assigned the bonds of the issue a B rating (low, speculative level), Argo specified.

The company will use the raised capital to finance the construction of a data center in Texas and buy mining equipment for it.

Argo also uses funds for "corporate purposes" and potential purchases of blockchain and crypto companies.

In September, LSE-listed Argo received an additional listing on the Nasdaq for its shares, which it announced in August.

At the time of writing, ADSs on shares (ticker ARBK) are priced at $ 18.75 at the premarket. The placement price was $ 15. The market capitalization of the company exceeds $ 858 million.