The post Riot Platforms Agrees on Executive Appointment in Bitfarms Board Amid Hostile Takeover Efforts appeared on BitcoinEthereumNews.com.

The cryptocurrency mining industry witnessed a significant development this week, with Riot Platforms making another strategic maneuver in its attempt to acquire Canadian competitor Bitfarms. Both companies announced a settlement agreement bringing a Riot-appointed executive to Bitfarms’ board of directors. A notable excerpt from the announcement includes Riot CEO Jason Les expressing optimism about the potential for increased shareholder value. Riot Platforms Intensifies Efforts to Acquire Bitfarms, Eyes Strategic Board Influence Settlement Agreement: A Strategic Win for Riot Platforms Earlier this year, Riot Platforms made a $950 million bid to acquire Bitfarms, a leading Canadian cryptocurrency mining firm. Although initially rebuffed by Bitfarms’ board, which deemed the offer inadequate, Riot has persisted in its acquisition efforts. The latest development saw both companies entering into a settlement agreement, leading to the appointment of Amy Freedman, a former banker and corporate advisor handpicked by Riot, to Bitfarms’ board of directors. This move is part of Riot’s continued strategy to gain more influence within Bitfarms by installing favorable board members. Riot’s Continued Efforts Amid Hostile Takeover Ambitions Riot Platforms has steadily increased its ownership of Bitfarms stock, now holding around 20% of the company’s shares. By using a hostile takeover approach, Riot aims to gain sufficient control of Bitfarms to facilitate an acquisition on its terms. The recent settlement not only places Freedman on Bitfarms’ board but also allows Riot the rights to purchase more Bitfarms shares, provided their stake remains above 15%. This position strengthens Riot’s influence and pushes the company closer to its goal. Bitfarms’ Countermeasures: Defensive Acquisitions and Market Moves While Riot aims to consolidate its influence, Bitfarms has not remained passive. In a strategic move to strengthen its valuation and deter Riot’s takeover bid, Bitfarms acquired Stronghold Digital Mining, another player in the crypto mining space. This acquisition is…

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Filed under: News - @ September 23, 2024 11:27 pm