Iris Energy faces a default claim for a $103 million equipment loan

Bitcoin miner Iris Energy (IREN) said on Monday that it is facing claims from its lenders for defaulting on $103 million in equipment loans held by two special purpose vehicles (SPVs). According to documents filed with the SEC on Monday, creditors issued a notice of default to the mine on Nov. 4. The filing on Monday said creditors claimed it was in arrears on payments originally scheduled for Oct. 25 because Iris failed to participate in such discussions. In view of this, the creditor wishes to trigger an acceleration clause requiring immediate payment of the full principal and accrued interest. The company said the principal amounts of the two loans in question were $32 million and $71 million, respectively, secured by mining machines of 1.6 EH/s and 2.0 EH/s, respectively, the company said. The debt is held by two wholly-owned non-recourse SPVs, meaning that in the event of default, the lender will be able to forfeit any assets of Iris Energy other than collateral. (coindesk)

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