Bitfarms refutes ‘misleading claims’ made by Riot Platforms in open letter
Bitfarms refutes ‘deceptive claims’ made by Riot Platforms in launch letter Bitfarms refutes ‘deceptive claims’ made by Riot Platforms in launch letter
The observation comes after Riot criticized Bitfarms' idea to plot Stronghold Digital in an launch letter to shareholders on Sept. 3.
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Bitcoin miner Bitfarms issued an announcement addressing what it known as deceptive claims by rival Riot Platforms amid ongoing tensions over the latter’s amended acquisition proposal.
Within the Sept. 4 press commence, Bitfarms emphasised that Riot’s proposal is no longer about corporate governance however moderately an are attempting to plot it at a diminished mark. The firm extra said that the pass would primarily succor Riot shareholders in put of Bitfarms’ hang patrons.
The observation comes after Riot criticized Bitfarms’ idea to plot Stronghold Digital in an launch letter to shareholders on Sept. 3.
Changes made independently
Bitfarms claimed that Riot has refused to love interaction in necessary discussions, alongside side declining to signal a former non-disclosure agreement or post a revised proposal. As an different, Riot has taken actions that Bitfarms claims like undermined the interests of its shareholders.
The firm additionally clarified that the fresh management changes were made “independently of Riot’s involvement” and implemented to give a enhance to shareholder price. It extra emphasised the qualifications of its management team and puzzled the aptitude price that Riot’s board nominees may perchance perchance offer.
Bitfarms additionally highlighted that its proposed acquisition of Stronghold as share of its ongoing solution to diversify strength access and form better its presence in the US. The acquisition, which may perchance perchance add as a lot as 307 megawatts (MW) of strength ability, aligns with Bitfarms’ neutral of rising its strength portfolio to over 950 MW by the tip of 2025, with almost half of that ability primarily primarily primarily based in the US.
Bitfarms said that the Board would review and acknowledge to Riot’s amended requisition proposal in due path however suggested shareholders that no instantaneous action became required. The corporate reiterated its dedication to bettering shareholder price in each and every the brief and long bustle.
Opposed takeover
The dispute between the 2 corporations dates began earlier this 300 and sixty five days when Riot first made an unsolicited offer to plot Bitfarms. On the other hand, the latter rejected this overture, citing considerations about the terms of the acquisition, which it believed undervalued its industry.
Riot, undeterred, persisted its pursuit and started pushing for changes in Bitfarms’ corporate governance, suggesting that enhancements in management and strategic path were necessary. It additionally nominated its hang slate of candidates for Bitfarms’ board, arguing that fresh views were desired to align the company’s strategy with market demands.
On the other hand, Bitfarms has consistently refuted Riot’s claims, striking forward that its board and management were taking self ample actions to give a enhance to the company’s monetary location and articulate potentialities.
This public aid-and-forth has escalated, with Riot resorting to what Bitfarms describes as “public attacks” to stress the firm into accepting a deal.
Mentioned listed right here
Assad Jafri
AJ, a passionate journalist since Yemen's 2011 Arab Spring, has honed his abilities worldwide for over a decade. Specializing in monetary journalism, he now focuses on crypto reporting.
Info Desk
CryptoSlate is a comprehensive and contextualized provide for crypto news, insights, and data. Focusing on Bitcoin, macro, DeFi and AI.
On this text
Bitcoin, a decentralized currency that defies the sway of central banks or directors, transacts electronically, circumventing intermediaries through a glimpse-to-glimpse network.
Bitfarms
Bitfarms (NASDAQ/TSX: BITF) is a Canadian Bitcoin mining company that became primarily based in 2017.
Riot Platforms
Riot Platforms is a bitcoin mining company, supporting the Bitcoin blockchain through without discover expanding industrial-scale mining centered in the US.
Stronghold Digital Mining
Stronghold Digital Mining is a vertically constructed-in and environmentally precious digital asset miner primarily primarily primarily based in Pennsylvania, USA.
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