PowerCompute Takes on $18M Bridge Loan to Refinance Debt
PowerCompute, a Bitcoin miner expanding into high-performance computing, borrowed $18.07 million from Arch Lending under two bridge notes signed July 27. The notes had a listed maturity date of July 31 and allowed payment until August 1.
The funds were intended to repay Galaxy Digital and Liebel debt while PowerCompute finalized an anticipated Bitcoin-secured term facility. As of June 30, the company's entire Bitcoin treasury was valued at $18.6 million, with 318.3 BTC held, including 174 BTC from PowerCompute's existing loan facility.
The notes totalled $18,068,845.28, approximately 97% of the value of PowerCompute's entire Bitcoin treasury. The contractual payment cutoff had passed without a default being established or an extension granted. The default interest rate is 15% per annum, but it remains unclear if this has been triggered.