Bitdeer Technologies Group (BTDR) stock plummeted 6.17% on Thursday, following the company's announcement of a private placement offering of $360 million in convertible senior notes due 2029.

The cryptocurrency mining data center company said it intends to offer the convertible notes, subject to market conditions and other factors. Convertible debt offerings typically allow the notes to be converted into shares of the company's common stock at a later date, which can dilute the value of existing shares and put downward pressure on the stock price.

Bitdeer plans to use a portion of the net proceeds to pay the cost of zero-strike calls, with the remainder to be used for data center expansion, ASIC-based mining rig development and manufacture, and other purposes. The company also expects to enter into privately negotiated exchange transactions with holders of its existing 8.50% convertible bonds due 2029 for cash and Class A ordinary shares.