---
title: "Bitcoin miner CleanSpark plunges 10% after $800M share offering"
url: https://diffcoin.com/bitcoin-miner-cleanspark-plunges-10-after-800m-share-offering/
description: "Bitcoin miner CleanSpark plunged 10% in after-hours trading on Thursday after the firm amended its at-the-market (ATM) offering agreement to sell up to…"
published: 2024-03-29
updated: 2024-03-29
author: "Mila"
site: "Diffcoin"
---

# Bitcoin miner CleanSpark plunges 10% after $800M share offering

Bitcoin miner CleanSpark plunged 10% in after-hours trading on Thursday after the firm amended its at-the-market (ATM) offering agreement to sell up to $800 million of its stock.

CleanSpark initially inked a deal for a $500 million ATM offering with New York investment banking firm H.C. Wainwright & Co on Jan. 5, 2024, where CleanSpark said it may, from time to time, offer and sell shares of its common stock at $0.001 per share, a March 28 SEC filing reveals.

*CleanSpark’s at the market agreement with H.C. Wainwright & Co. LLC. Source:* *SEC*

Primary stock dilution is a common strategy for publicly-listed companies to raise additional capital.

CleanSpark isn’t the only Bitcoin miner to enter into an ATM agreement for this reason either — with Riot Platforms and Marathon Digital Holdings, both entering into $750 million ATM agreements last August and October.

With a market capitalization of $4.2 billion, a $800 million stock offering would effectively dilute CLSK shares by 19%.

CLSK started the trading day at $23.20 but is now down 16% to $19.1 in after-hours — which included an 8.2% fall during trading hours, according to Google Finance.

*CleanSpark’s change in stock price over the last trading day. Source: Google Finance*

Despite the stock plunge, CLSK is up 95% in 2024 and 685% over the last 12 months.

***Related:*** ***Bitcoin halving ‘blood bath’ could push US miners offshore***

CleanSpark is one of many Bitcoin miners preparing for the upcoming Bitcoin halving event, expected to occur on April 20, which will see Bitcoin mining rewards reduced from 6.25 BTC ($441,000) to 3.125 BTC ($220,500).

The firm boasts the lowest cost production to mine one Bitcoin post-halving at $26,900, a Jan. 12 CoinShares research report found.

On Feb. 6, Cleanspark said it expects its hash rate to double in the first half of 2024 on the back of a recent agreement to purchase four new mining facilities in Mississippi, worth $19.8 million, which produced an immediate 2.4 exahashes per second (EH/s) for the firm.

It also agreed to buy an additional mining facility in Dalton, Georgia, for $6.9 million, which will produce 0.8 EH/s. However, that facility is under construction and won’t be ready until April 2024.

Cointelegraph reached out to CleanSpark for comment but didn’t receive a response by the time of publication.

***Magazine:*** ***This is your brain on crypto — Substance abuse grows among crypto traders***

[Source link](https://cointelegraph.com/news/bitcoin-miner-cleanspark-shares-fall-800m-offering-dilute-shareholders)