Colorado-based Bitcoin mining firm Riot Platforms has acquired its Kentucky-based competitor Block Mining to extend its operational capability by 16 EH/s.
Bitcoin (BTC) miner Riot Platforms has acquired Block Mining, a Kentucky-based crypto mining agency, for $92.5 million to broaden its operational sources. The corporate mentioned in a Jul. 24 press launch the deal instantly provides 1 EH/s to its self-mining hashrate “with a potential to add up to a total of 16 EH/s by the end of 2025.”
The acquisition features a $18.5 million money fee and $74 million in Riot widespread inventory.
“With a combined 60 MW of existing developed capacity, and a pipeline to rapidly scale to over 300 MW, this acquisition expands our operations and further enhances our path towards our growth target of 100 EH/s.”
Riot Platforms CEO Jason Les
Riot additionally plans to take a position an extra $32.5 million by way of 2025 to boost Block Mining’s energy capability, which incorporates two operational websites in Kentucky, the press launch reads. By the tip of 2024, Riot goals to extend Block Mining’s infrastructure to help 110 MW for self-mining operations.
Amid the information, Riot shares plunged by 5.3% to $11.59, in line with knowledge from Google Finance.
The acquisition comes just a few months after Riot Platforms proposed buying its different rival Bitfarms for $950 million. Nonetheless, Riot subsequently withdrew its proposal, citing an lack of ability to interact with Bitfarms’ present board on a possible merger. Riot then requested a particular shareholder assembly to handle governance points on the Toronto-based competitor.
