Riot Platforms (NASDAQ: ) introduced on Thursday that it has acquired a further 1,432,063 shares of Bitfarms (BITF) at roughly $2.70 per share, for a complete of about $3.87 million.
The acquisition will increase Riot's possession to 57.62 million Bitfarms shares, equal to roughly 14% of the corporate.
Bitfarms shares rose 16% in Toronto on Friday.
The transfer represents the newest step in Riot's ongoing try at a hostile takeover of Bitfarms.
Final month, the bitcoin miner made a suggestion to accumulate Bitfarms for round $950 million. Nevertheless, Bitfarms has taken defensive measures towards the takeover.
Riot CEO Jason Les criticized the transfer.
“As a substitute of partaking with us privately and in good religion, Bitfarms responded by implementing an off-market Poison Tablet with a set off nicely under the standard 20% threshold,” Les stated in an announcement.
Earlier this week, Bitfarms adopted a “poison capsule” technique to stop a takeover, a method geared toward making the corporate much less enticing.
Based on Reuters, underneath Bitfarms' plan, if the entity acquires greater than 15% of Bitfarms' stake between June 20 and September 10, the corporate will subject new shares, diluting the entity's possession. After September 10, this restrict shall be adjusted to twenty% if sure circumstances are met for a takeover try.
Riot Platforms plans to name a particular assembly of Bitfarms shareholders the place they intend to suggest a number of impartial administrators to affix the Bitfarms board of administrators.
Bitfarms introduced its growth into the US on Friday with the institution of a brand new location in Sharon, Pennsylvania. The agency plans to develop as much as 120 megawatts (MW) of power capability at this new location, it stated in an announcement.
