Summary by Moomoo AI
Bitfarms Ltd., a blockchain infrastructure company, has announced a definitive merger agreement to acquire Stronghold Digital Mining, Inc. in an all-stock transaction valued at approximately $125 million, plus the assumption of around $50 million in debt. The acquisition, which has been in discussion for three years, is expected to significantly enhance Bitfarms' operational capacity and geographical footprint. With the merger, Bitfarms will gain a current hashrate of 4.0 EH/s, over 750 acres of land with options on an additional 1,100 acres, two merchant power plants in Pennsylvania, and the potential to add up to 307 MW of power capacity. The deal is anticipated to increase Bitfarms' energy portfolio to 950 MW by the end of 2025, with visibility on expansion capacity up to 1.6 GW. The transaction is subject to approval by Stronghold's shareholders, regulatory approvals, and other customary closing conditions, with an expected closure in the first quarter of 2025. Stronghold's CEO Greg Beard will remain in an advisory role post-transaction. Bitfarms will host a conference call to discuss the merger details.
