• Marathon Digital acquires two Bitcoin mining sites, expanding capacity to 910 megawatts, in a $178.6 million deal.

• The transaction allows Marathon to double its operational hash rate to 50 exahashes in 18-24 months.

Marathon Digital Holdings, Inc. a leader in Bitcoin ecosystem support and security, has finalized a definitive agreement to acquire two currently operational Bitcoin mining sites, totaling 390 megawatts of capacity, from subsidiaries of Generate Capital, PBC.

This transaction, valued at $178.6 million, represents a significant change for Marathon, marking its transition from an asset-light organization to one that manages a diversified and resilient portfolio of Bitcoin mining operations.

Currently, Marathon’s Bitcoin mining portfolio consists of 584 megawatts of capacity, with 3% at sites owned and/or operated by the company, and 97% hosted by third parties.

Marathon Digital Increases Capacity to 910 Megawatts

With this acquisition, Marathon’s portfolio will reach approximately 910 megawatts of capacity, with 45% at sites directly owned by the company. In addition, expansion opportunities at these sites substantially increase Marathon’s potential, offering the potential to double its current operating hash rate to approximately 50 exahashes of total operating capacity over the next 18-24 months.

With this acquisition, Marathon will take possession of approximately 390 megawatts of operating capacity, of which 82 megawatts (21%) are currently vacant and available for immediate expansion, 244 megawatts (63%) are occupied by other Bitcoin mining tenants , and 64 megawatts (16%) are already occupied by Marathon and ready for operational optimizations. The transaction is expected to reduce the cost per coin of Marathon’s current operations at these sites by approximately 30%.

In the near term, the company intends to fill 82 megawatts of capacity currently available at the sites with its own miners. As current hosting customers leave the sites, the company plans to use the available capacity for its own miners, thereby increasing its hash rate and maximizing operational efficiencies.

Key Acquisition in the Bitcoin Mining Industry

Fred Thiel, president and CEO of Marathon, commented that the acquisition of these sites is the next step in the company’s evolution into a more sophisticated and mature organization with a diversified portfolio of Bitcoin mining technologies and assets .

Salman Khan, Marathon’s chief financial officer, added that the transaction is part of a long-term strategy made possible by strategic efforts to improve its balance sheet.

David Hirsch, principal at Generate Capital, noted that Marathon has been an excellent partner and an essential part of the success of the data centers in Granbury, Texas and Kearney, Nebraska. With this transaction, Marathon strengthens its position as a leader in the Bitcoin ecosystem, and Generate can reallocate resources to continue its sustainability leadership with other initiatives at the intersection of digital and energy infrastructure. The transaction plays to the strengths and long-term strategies of both organizations.