Fun

Bitfarms pushes back against Riot’s $950M takeover attempt

News Feed - 2024-06-13 04:06:18

Arijit Sarkar1 hour agoBitfarms pushes back against Riot’s $950M takeover attemptRiot’s $950 million buyout offer is met with resistance as Bitfarms’ stakeholders and special committee deem it undervalued and not in shareholders’ best interests.457 Total views11 Total sharesListen to article 0:00NewsOwn this piece of crypto historyCollect this article as NFTJoin us on social networksA battle for ultimate ownership is heating up between two Bitcoin mining companies, with Canadian Bitcoin miner Bitfarms accusing Colorado-based Riot Platforms of attempting a hostile takeover.


In its original proposal on May 28, Riot Platforms presented a $950 million buyout offer based on Bitfarms’ one-month volume-weighted average share price as of May 24, 2024.


However, Bitfarms stakeholders were displeased with relinquishing more than 15% of their stake in a corporate takeover. Shortly afterward, in June, Riot announced the purchase of approximately six million Bitfarms common shares for $111 million.Source: Bitfarms


Building on its previous holding, Riot acquired a 13.1% stake in Bitfarms. Bitfarms asserted that this move was “an attempt to undermine the integrity of the acquisition process.” Bitfarms said:“It is clear that Riot’s interests are not aligned with those of Bitfarms shareholders, and instead of participating in the Special Committee’s process in good faith, Riot is attacking Bitfarms’ Board and corporate governance in an effort to push its low-ball bid and disrupt the Strategic Alternatives Review Process.”


Bitfarms did not immediately respond to Cointelegraph’s request for comment.


Related:Bitcoin miner Riot Platforms reports record $211M Q1 net income


The Bitfarms special committee comprises independent directors who consider the unsolicited proposals and “determined that the proposal significantly undervalues Bitfarms and is not in the best interest of shareholders.”


On June 10, Bitfarms adopted the shareholder rights plan to prevent an “unsolicited takeover bid” from Riot Platforms.


Bitfarms believed its rebuttal served the best interest of its shareholders and claimed Riot intended to “short circuit” the decision.


Bitfarms operates 12 Bitcoin (BTC) mining facilities in four countries: Canada, the United States, Paraguay and Argentina. In May, Bitfarms announced that its former CEO, Geoffrey Morphy, would step down after filing a lawsuit against the mining firm.


Nicolas Bonta has been acting as the interim president and CEO until the company decides on a replacement for Morphy. Les called on the board to remove Bonta, claiming he “bears direct responsibility for [Bitfarms’] poor corporate governance practices.”


Magazine:‘Bitcoin Layer 2s’ aren’t really L2s at all: Here’s why that matters# Bitcoin# Mining# Business# Bitcoin Mining# MineAdd reaction

News Feed

Indian Government Reveals Inspection of Bitcoin Businesses, Informs Parliament of Results
Indian Government Reveals Inspection of Bitcoin Businesses, Informs Parliament of Results The government of India has informed Lok Sabha, the lower house of parliament, about the
Joe Hall7 hours agoSmall Islands, big problems: Can Bitcoin fix this? Cointelegraph Cape Verde videoA small island nation in the Atlantic Ocean grapples with a cash economy influenced by tourism, remittances and limited
Bitcoin whale wallets move $61M in BTC after a decade of dormancy
Brayden Lindrea7 hours agoBitcoin whale wallets move $61M in BTC after a decade of dormancyThe two wallets acquired a total of 1,000 Bitcoin more than 10 years ago when 1 BTC was worth $134.6829 Total views18 Total share
APAC crypto crime spikes amid legal resource shortages: Chainalysis report
Josh O"Sullivan1 hour agoAPAC crypto crime spikes amid legal resource shortages: Chainalysis reportAPAC’s struggle with increasing crypto crime is exacerbated by a shortage of legal resources and inadequate training fo
Bank of England Governor Worried About Bitcoin Being Legal Tender in El Salvador
Bank of England Governor Worried About Bitcoin Being Legal Tender in El Salvador The governor of the Bank of England, the country’s central bank, has voiced concerns about E
Ezra Reguerra11 hours agoUS, UK intel agencies warn against new crypto malware: ReportSeveral U.S. and U.K. intelligence agencies have published a joint report warning users about a new malware called “Infamous Chisel,
Tristan Greene5 hours agoLaw professor says blockchain tech could ‘revolutionize’ copyright officesAccording to the research, blockchain provides several game-changing benefits for intellectual property licensing and
Tom Blackstone2 hours agoMetaMask ‘glitch’ caused opBNB recommended fees to be too high: ReportAccording to BNB Chain, MetaMask was averaging recommended fees from multiple networks, causing opBNB recommended fees to
AI tokens are more hype than value right now, says Coinbase analyst
Arijit Sarkar3 hours agoAI tokens are more hype than value right now, says Coinbase analystWhile some crypto-AI tokens continue to deliver profitable trades, the long-term sustainability of the ecosystem will require mor
Solana memecoin hits a whopping $328T market cap — for all the wrong reasons
Brayden Lindrea3 hours agoSolana memecoin hits a whopping $328T market cap — for all the wrong reasonsCrypto users have continued to send funds to the apparent honeypot scam, even with many warnings they won’t be abl
Matrixport Founder Jihan Wu Believes Crypto Space Will Swell to ‘Tens of Trillions of Dollars’
Matrixport Founder Jihan Wu Believes Crypto Space Will Swell to "Tens of Trillions of Dollars" Seven months ago, during the first week of May, the digital currency entrepreneur Jih
USDC overtakes USDT: Compliance is key to stablecoin dominance
Daniel Ramirez-Escudero11 hours agoUSDC overtakes USDT: Compliance is key to stablecoin dominanceTether’s USDT hegemony in the stablecoin market may shift as institutional investors chip into the crypto market.4765 Tot