Topic
Financing in which money is advanced as debt and converts into equity on terms set by a later round, letting the parties postpone agreeing a valuation.
Cipher Digital plans to sell $850 million of zero-coupon convertible notes due 2032 after agreeing to absorb $359.3 million of Barber Lake overruns. The stock fell 9.6% premarket, but most of its slide from September 25 came before the offering.
Reality
Metaplanet sold 10,000 Bitcoin and bought back 11,000 at a 9.3% higher price, paying about ¥11.57 billion extra on the coins it replaced. The sale was meant to show prospective lenders, as the company pursues a credit rating, that it will turn coins into cash.
Reality
Nscale raised $3.36bn in convertible notes that become shares at its IPO, which is more than the up to $3bn the listing is reported to raise. The offer price will set what the stakes held by Third Point, Nvidia and the other noteholders are worth.
Perspective Coverage
6 publishersReality
Nvidia is putting $1 billion into Nscale's $3.36 billion pre-IPO round, funding a customer still building most of its capacity. Buyers signing multi-year capacity deals should check how that build-out is paid for before they check the price.
Perspective Coverage
4 publishersReality
The convertible note accounts for 84.5 percent of the $290 million Cylake has raised, and the product it funds is still a design-partner build with general availability promised for 2027. The next financing sets the conversion price.
Reality