Argo Blockchain hopes to raise $57.5 million for Texas mining facility via public offering

Argo Blockchain, a crypto mining firm listed on the London Stock Exchange, filed for a proposed public debt offering with the US Securities and Exchange Commission on Monday. The offering includes 8.75% senior notes that will mature on November 30, 2026, and will be sold in increments of $25. 

Argo intends to raise $57.5 million through the offering, according to the filing and people familiar with the matter. The funds will be used to help purchase crypto mining hardware and to complete the construction of its forthcoming 800-megawatt Texas mining facility — which could cost between $1.5 billion to $2 billion. 

In addition, the firm plans to use the funds for “general corporate purposes” as well as to potentially fund other crypto or blockchain-based businesses, according to a company release. 

Argo notes in the filing that possible risks to investors could include delays related to the availability of crypto mining hardware, skilled labor and water and transportation for the Texas facility — where Argo intends to power 90% of its operations through renewable sources. The mining firm also disclosed in the filing that it had $58 million in outstanding debt as of September 30, 2021.