Matador Technologies revises $100 million convertible bond terms, focusing on expanding Bitcoin holdings

ChainCatcher Message, Matador Technologies Inc. (TSXV: MATA) announced that it has amended the terms of its $100 million convertible note financing agreement with ATW Partners and has signed the initial $10.5 million delivery. In accordance with the Ontario Securities Commission’s review requirements, the company issued a corrected disclosure removing statements such as “holding 6,000 bitcoins until 2027” and “approximately 1% of the total bitcoin supply.” Under the revised agreement, the financing funds will be specifically used to purchase bitcoins to increase the company’s bitcoin holdings per share. The note has an annual interest rate of 8%, which will decrease to 5% after the company switches its listing from TSXV to NASDAQ or NYSE. The notes are secured by Bitcoin, with collateral equal to 150% (initial delivery) or 100% (subsequent deliveries) of the note principal. Matador CEO Deven Soni stated, “This financing marks an important step in our long-term bitcoin accumulation plan, providing the company with the funds needed to expand its bitcoin holdings while limiting short-term dilution and maintaining alignment with our overall capital strategy.” The company plans to acquire up to 1,000 bitcoins by 2026.