Galaxy Digital Shares Drop 7% Following $1.15 Billion Convertible Debt Raise

Newswire Style (Bloomberg/Reuters tone)

Galaxy Digital Shares Slide 7.6% After Upsizing $1.15B Exchangeable Notes Offering
28 October 2025

Galaxy Digital (GLXY), the crypto-focused financial services firm led by Mike Novogratz, is raising $1.15 billion through a private offering of exchangeable notes, expanding from its earlier $1 billion plan.

The company expects to receive net proceeds of about $1.127 billion, or $1.274 billion if the $150 million overallotment option is fully exercised. The notes will bear an annual coupon of 0.50% and mature on May 1, 2031. Holders will be able to exchange them at an initial rate of 17.9352 shares per $1,000 principal, implying an exchange price of roughly $55.76, a 37.5% premium to the stock’s October 27 close.

Proceeds will fund growth initiatives across Galaxy’s core business lines and may also be used to repay existing 2026 exchangeable notes, the company said. The notes are non-redeemable before November 6, 2028, but may become redeemable thereafter if the stock trades 130% above the exchange price for a sustained period.

The deal remains subject to Toronto Stock Exchange approval, expected on October 30. Galaxy’s U.S.-listed shares fell 7.6% to $37.46 following the announcement but remain up over 110% year to date.

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