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

Google Alerts Users About Malicious Actors Using Cloud for Cryptocurrency Mining
Google Alerts Users About Malicious Actors Using Cloud for Cryptocurrency Mining Google has warned users about the use of its Google Cloud platform by malicious actors to mine cryp
Brayden Lindrea3 hours agoTHORChain becomes third-largest DEX as RUNE surges 50% in a weekTHORChain’s $1.32 billion in trading volume over the last week only trails Uniswap and PancakeSwap among decentralized exchanges
Ukraine’s Financial Watchdog Reports Blocking Russian Crypto Exchanges
Ukraine’s Financial Watchdog Reports Blocking Russian Crypto Exchanges The financial monitoring agency of Ukraine has restricted access to a number of online crypto exchangers op
Analyst eyes Ether 'major push' to $3.5K amid traders betting on upswing
Ciaran Lyons1 hour agoAnalyst eyes Ether "major push" to $3.5K amid traders betting on upswingA crypto analyst says Ether could make a "major push" to $3,500 if it holds a $2,800 weekly close. Meanwhile, future
Bitcoin miners may ‘fear’ the halving, but they cherish it too
Helen Partz1 hour agoBitcoin miners may ‘fear’ the halving, but they cherish it tooWhile Bitcoin halvings can put a huge dent in crypto mining profitability, miners say they wouldn’t have it any other way.705 Total
Terra was a ‘house of cards’ — SEC in opening statements for civil trial
Turner Wright5 hours agoTerra was a ‘house of cards’ — SEC in opening statements for civil trialTerraform Labs co-founder Do Kwon remained in Montenegro as the SEC trial kicked off in New York on March 25.4571 Tota
Trump weighing Bitcoin hater Jamie Dimon for US Treasury
Tristan Greene7 hours agoTrump weighing Bitcoin hater Jamie Dimon for US TreasuryThe former president could reveal more details at the Bitcoin Conference in Nashville from July 25 through 27.3465 Total views20 Total shar
Reddit Introduces ETH-Based Community Points Beta Program With Custom Tokens for Subreddits
Reddit Introduces ETH-Based Community Points Beta Program With Custom Tokens for Subreddits The popular forum and news aggregation web portal Reddit has revealed the firm’s
Institutional Investors Forecast ‘Strong Year’ for Bitcoin — 65% Expect BTC to Hit $100K, Survey Shows
Institutional Investors Forecast "Strong Year" for Bitcoin — 65% Expect BTC to Hit $100K, Survey Shows A new survey shows that institutional investors expect “a strong yea
Coca-Cola Supply Chain Firm Expands Blockchain Effort to 70 Partners
The IT firm behind Coca-Cola’s bottle manufacturing supply chain processes looks to be getting a taste for blockchain technology. Coke One North America (CONA) says its pilot proj
XRP Set To Explode—But Only After This Plunge, Analyst Says
Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and pu
Crypto Boutique Law Firm Roche Freedman Removed From Class Action Against Tether
Crypto Boutique Law Firm Roche Freedman Removed From Class Action Against Tether After a Manhattan federal judge blasted Roche Freedman LLP founding partner Kyle Roche’s publ