Bitfarms, a renowned Bitcoin mining company, has completed the acquisition of Stronghold Digital Mining through a stock-for-stock merger. This enhances Bitfarms' presence in the U.S. and expands its mining operations.
Bitfarms Acquires Stronghold Digital
As part of the merger, Stronghold shareholders received 2.52 shares of Bitfarms for each share of Stronghold. This means Stronghold is now completely owned by Bitfarms. Bitfarms issued about 59,678,164 common shares and 10,574,848 warrants to complete the merger. Bitfarms also paid $44.5 million to settle Stronghold’s outstanding loans, resolving financial issues for the newly merged company. Additionally, Bitfarms plans to use its resources and infrastructure to drive future success in digital asset mining.
Bitfarms Sells 200 MW Facility
Bitfarms has taken a major step in its growth by selling its 200 MW facility in Paraguay to HIVE Digital Technologies for $56 million. This allows Bitfarms to focus on its main operations and invest in improving its U.S. operations. Meanwhile, selling the Yguazu facility is significant for HIVE Digital, aiming to reach a performance level of 25 EH/s by September 2025. The new Yguazu facility will increase HIVE's global capacity to 430 MW by the third quarter of 2025.
Bitfarms and Riot Platforms Agreement
Bitfarms recently reached an agreement with Riot Platforms. As part of the deal, Bitfarms would stand at a standstill until 2026, while Riot has the right to buy more BITF shares with the goal of holding at least 15% ownership. However, Riot cannot acquire more than 20% of Bitfarms shares without board approval, preventing a hostile takeover. The agreement aims to enhance Bitfarms' productivity as a major player in the Bitcoin mining sector.
The merger with Stronghold Digital and the deal with Riot Platforms mark significant steps in Bitfarms' growth strategy, solidifying its market position and opening new opportunities for success in cryptocurrency mining.
