CleanSpark Raises $1.15B to Scale Bitcoin Mining and AI Data Centers: What Ops Leaders Should Know
CleanSpark announced a $1.15 billion senior convertible note offering to accelerate growth across Bitcoin mining and AI-focused data center infrastructure. The company expects roughly $1.13 billion in net proceeds, which could reach $1.28 billion if the option to purchase additional notes is fully exercised. The deal is slated to close on Nov. 13, pending customary conditions.
This comes about a year after its prior $550 million private convertible note raise closed on Dec. 17, 2024. The message is clear: CleanSpark is capitalizing while financing is available and GPU demand is hot.
Where the Capital Is Going
$460 million is earmarked for repurchasing common stock at $15.03 per share via privately negotiated transactions, matching Monday's Nasdaq close. The rest will fund power and land acquisitions, data center development, repayment of Bitcoin-backed credit lines, and general corporate use.
- Balance sheet: Lower float via buybacks while adding debt capacity for infrastructure.
- Buildout: Power-first expansion strategy (land, interconnects, and megawatts) to support both mining and AI workloads.
- De-risking: Paying down BTC-collateralized credit reduces exposure to price swings.
Scale and Positioning
CleanSpark is the second-largest Bitcoin miner by operating hashrate at 46.60 EH/s, trailing only Marathon Holdings. That scale provides cost advantages, supplier access, and optionality to pivot capacity between mining and high-performance compute when economics shift.
Georgia as a Strategic Hub
"We have been reviewing the entire portfolio from first principles to evaluate AI suitability and have identified Georgia as a strategic region for both potential conversion as well as expansion," said Scott Garrison, chief development officer and executive vice president at CleanSpark.
For operations teams, that points to grid access, permitting feasibility, and construction timelines favorable to near-term capacity. Expect focus on interconnection queues, substation upgrades, and sites that can support dense GPU clusters.
Why Miners Are Moving Into AI
Post-halving margins push miners to seek new revenue beyond block rewards. AI and HPC provide steadier contracts and higher dollar-per-megawatt opportunities, though with different reliability, cooling, and security needs.
CleanSpark's shares jumped 13% the day after it first announced its AI expansion on Oct. 20, signaling investor support for the pivot. The broader trend is visible: IREN signed a five-year, $9.7 billion agreement with Microsoft for access to Nvidia GPUs, and Core Scientific struck a $3.5 billion deal with CoreWeave for 200 MW of HPC capacity.
What Operations Leaders Should Watch Next
- Closing milestone: Confirmation of the Nov. 13 close and final net proceeds.
- Power pipeline: Land banking, substation commitments, and interconnect timelines in Georgia and adjacent markets.
- Cooling strategy: Air vs. liquid cooling designs for GPU density and near-term availability.
- Supply chain: Lead times for transformers, switchgear, PDUs, generators, and chillers.
- GPU procurement: Contract terms, delivery schedules, and allocation risk from OEMs and hyperscalers.
- SLAs and uptime: Tiering, redundancy, and penalties aligned with AI clients' expectations.
- Financial guardrails: Debt service coverage if BTC prices soften, plus covenants tied to capex cadence.
Execution Risks to Plan Around
- Interconnection delays that push revenue start dates.
- Volatile energy pricing and load curtailment requirements.
- Permitting and construction bottlenecks, especially for large substations.
- GPU scarcity or delayed deliveries that strand capacity.
- Mismatch between AI demand timing and completed megawatts.
Key Numbers at a Glance
- $1.15B senior convertible notes (gross)
- ~$1.13B net proceeds; up to ~$1.28B with full option exercise
- $460M for stock repurchases at $15.03 per share
- 46.60 EH/s operating hashrate
- Expected close: Nov. 13
Context and Sources
For company updates and investor materials, see CleanSpark's site. CleanSpark
Recent AI infrastructure deals highlight demand for GPU capacity: Microsoft-IREN agreement and Core Scientific-CoreWeave partnership.
For Teams Standing Up AI Capacity
If you're building out AI data center capability and skilling up your team, these curated resources can help: AI courses by job function.
Bottom line for operations: this raise gives CleanSpark the fuel to lock in power, accelerate builds, and secure GPUs. Execution will come down to interconnect timing, equipment delivery, and high-uptime delivery for AI clients-without letting the Bitcoin side slip.
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