Galaxy Digital Holdings Ltd. has revealed the firm is looking to raise $500 million in an exchangeable senior note offering. The investment company, founded by billionaire investor Mike Novogratz in January 2018, aims to use the funds to “accelerate growth initiatives across its business lines.”
Galaxy Reveals Exchangeable Senior Note Offering
The investment firm Galaxy Digital (TSX: GLXY) aims to raise $500 million via an exchangeable senior note offering. The convertible debt will be used to continue expanding the business. Galaxy details that the private placement will close in early December 2021 and will be subject to Toronto Stock Exchange (TSX) approval. Notes will only be sold to persons who qualify as “institutional buyers,” the announcement explains.
“Galaxy Digital has agreed to issue and sell $500 million aggregate principal amount of 3.00% exchangeable senior notes due 2026 to certain purchasers, including affiliates of Arca, NZ Funds, Senator Investment Group and XN, in a private placement under the Securities Act of 1933,” Galaxy revealed on Tuesday. Galaxy further added:
Galaxy Digital intends to use the proceeds from the Notes offering to accelerate growth initiatives across its business lines and for general corporate purposes.
Galaxy Raised $325 Million for Interactive Fund in October, Slew of Crypto Firms Leveraging Debt Markets to Raise Capital
The scheme to raise $500 million in the debt market follows Galaxy’s recent capital raise of $325 million in October. The $325 million in funding will be tied to the firm’s second interactive content and technology fund. Some of Galaxy’s interactive fund investments have been publicly announced and include projects like Masterworks, Art Blocks, ROAR, 1047 Games, Elodie, and Republic.
Galaxy also initiated a decentralized finance (defi) fund last August that gives investors exposure to a myriad
