Mara Holdings, Shock of $1.5 Trillion Bitcoin Sale...Stock Price Falls on Over $1.2 Billion Loss

▲ Bitcoin (BTC) Price Drop

Bitcoin mining company Mara Holdings (MARA Holdings, MARA) is facing stock price pressure due to a large first-quarter loss and the impact of a $1.5 trillion Bitcoin sale, prompting a restructuring to shift its focus from mining to artificial intelligence and IT infrastructure.

NewsBTC reported on May 14 (local time) that while MARA Holdings still holds 35,303 BTC worth approximately $2.84 billion, maintaining its position as the world's fourth-largest corporate Bitcoin holder, investor concerns have grown after the recent large-scale sale of some of its reserves. MARA's stock price fell 5% in Tuesday's trading, dropping to $11.74 during the session and closing near $12.65, followed by an additional 1.85% decline in after-hours trading.

The stock price drop occurred immediately after the company's Q1 2026 earnings announcement. MARA recorded a net loss of $1.26 billion in Q1, more than double the $533 million loss in the same period last year. Revenue decreased by 18% year-over-year to $175 million, with the article attributing the decline in Bitcoin prices as a partial cause of the revenue drop.

MARA sold 20,880 BTC, worth approximately $1.5 trillion, during the first quarter. Of this, 15,133 BTC, worth about $1 billion, sold between March 4 and March 25, was used for convertible bond redemptions. The company used approximately $1 billion of the proceeds to reduce its convertible bond burden from $3.3 billion to $2.3 billion, cutting its debt by about 30%. This transaction resulted in a $71 million gain from debt extinguishment.

Business strategy is also rapidly changing. MARA has announced that it has no plans to acquire large quantities of ASIC mining equipment in the future. Approximately 90% of the company's non-hosting mining capacity is reportedly convertible to artificial intelligence (AI) and IT infrastructure. The company is pursuing a strategy to generate revenue from its power assets and leverage its mining operational experience by deploying existing Bitcoin mining operations alongside new infrastructure.

Restructuring is also underway. MARA plans to reduce its workforce by 15%, saving $12 million annually. Concurrently, it completed a major deal to acquire Long Ridge Energy from FTAI Infrastructure. The acquisition, including approximately $785 million in debt, is close to $1.5 trillion, marking the largest acquisition in MARA's history. Long Ridge operates a 505-megawatt combined-cycle gas power plant in Ohio and owns over 1,600 acres of adjacent land, from which MARA anticipates an annual adjusted EBITDA of $144 million.

Despite Tuesday's decline, MARA's stock price has risen 30% over the past month. However, unlike Strategy, the largest corporate Bitcoin holder, which continues to buy, MARA is selling Bitcoin, reducing debt, and reorienting towards infrastructure businesses. The article points out that the contrasting actions of the two companies illustrate the different strategies cryptocurrency firms are adopting in the current market environment.

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