Digihost Technology, a U.S.-based Bitcoin self-mining company, closed a $10 million committed, collateralized revolving credit facility with Securitize. The loan facility provides Digihost with significant, non-dilutive, liquidity options to assist in the financing of its aggressive growth strategy. The loan facility has a one-year committed term and an interest rate of 7.5% per annum and has been fully drawn by the company.
Proceeds from the loan facility, collateralized by the company’s growing Bitcoin inventory, will be used to fund both operating and capital costs thereby giving Digihost the ability to continue to add to its Bitcoin inventory, a key component of the company’s value creation strategy. The loan facility, combined with alternative equity issuing options available to the company, will allow Digihost to continue to optimize the design of its capital structure, improve profitability and add working capital flexibility.
