Marathon to raise $250 million for expansion

The Nasdaq-listed mining company Marathon Patent Group will raise $250 million through the sale of 12.5 million shares to purchase new cryptocurrency mining equipment, according to a press release.

Marathon plans to sell ordinary shares at $20 to institutional investors in a private placement.

The company will apply net proceeds from this offering to general corporate purposes, funding of ongoing operations and expansion of the business.

In a statement, CoinDesk CEO Merrick Okamoto said that the funds would be used to participate in the “arms race” among miners by increasing its fleet of Bitmain devices.

Back in December, Marathon agreed with Bitmain to buy 70,000 Antminer S19s for $170 million. After deploying the new devices, the company’s hash rate will rise to 10.36 EH/s.

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