MARA sells 13,597 BTC post‑Q3 to clear $750 million debt and fund AI projects
MARA Holdings sold 13,597 Bitcoin after Q3, raising $1.1 billion, repaid $750 million of term loans and outlined further sales to support AI infrastructure and a share buyback.
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Key takeaways
- MARA sold 13,597 BTC for roughly $1.1 billion, using $750 million to fully repay its Bitcoin‑backed term loans.
- The sale reduced MARA’s on‑balance Bitcoin to about 20,415 BTC, roughly 40% of its pre‑sale holdings.
- Future BTC sales are planned to fund AI projects, a potential $500 million share buyback and convertible note repayments.
MARA Holdings disclosed in its Q3 shareholder letter that it sold 13,597 Bitcoin after the quarter closed, generating about $1.1 billion in proceeds. The bulk of the cash—$750 million—was applied to fully repay Bitcoin‑backed term loans that had financed the pending acquisition of the Long Ridge natural‑gas power plant, according to the company’s filing. The remaining funds are earmarked for AI infrastructure, a possible share‑buyback program and convertible‑note obligations.
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Debt repayment and collateral release
The term loans, drawn in August when Bitcoin traded near $64,000, were secured by 17,477 BTC. By selling the 13,597 BTC at an average price of roughly $81,039, MARA cleared the debt and released the pledged collateral, a move that the firm described as enhancing its financial flexibility. On‑chain trackers also flagged the transfer of the sold coins to exchanges in October, confirming the liquidation.
Impact on MARA’s balance sheet and earnings
The Bitcoin sale trimmed MARA’s holdings from 34,012 BTC at the end of September to about 20,415 BTC, representing a 40% reduction. Despite a 35% year‑over‑year drop in Q3 revenue to $164.2 million—driven by a 37% decline in the average price of mined Bitcoin—net income rose to $632.1 million, largely due to an $885.3 million unrealized gain on its Bitcoin position. The gain remains on paper until the coins are sold.
Future use of remaining Bitcoin and strategic outlook
MARA’s 2026 strategy now explicitly allows the company to monetize Bitcoin held on its balance sheet, a shift from its 2025 plan that limited sales to coins generated from mining. The firm indicated three primary uses for cash from future sales: exercising convertible notes next year, a discretionary $500 million share‑buyback program, and funding AI‑related infrastructure projects. The company aims to secure two AI tenant leases before year‑end, though timelines could extend into 2027.
What to watch next
Investors will be monitoring MARA’s upcoming quarterly updates for confirmation of AI lease agreements and the scale of any additional Bitcoin sales. The performance of the share‑buyback program and the execution of convertible‑note repayments will also be key indicators of the firm’s financial flexibility moving forward.
COINMAG NewsroomStories researched and written by the COINMAG news desk from multiple independent reports.
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