Bitfarms gains 13% after Riot $950 million buyout offer 📃

6:36 PM 13 June 2024

Bitfarms gains over 13.00% despite negative sentiment in the broader cryptocurrency market and declines in most cryptocurrency-related companies. The increase follows renewed takeover attempts by Riot Platforms.

Riot Platforms' $950 million acquisition bid for Canadian Bitcoin miner Bitfarms has met with opposition, as Bitfarms' stakeholders and a special committee believe the offer undervalues the company and does not serve shareholders' best interests. Riot initiated its takeover attempt with a proposal on May 28 and further solidified its position by purchasing around six million Bitfarms shares for $111 million, raising its ownership to 13.1%. In response, Bitfarms implemented a shareholder rights plan to fend off the unsolicited takeover and accused Riot of disrupting the acquisition process.

Start investing today or test a free demo

Open real account TRY DEMO Download mobile app Download mobile app

The conflict escalated with Bitfarms accusing Riot of attempting a hostile takeover and alleging that Riot's actions were not aligned with Bitfarms shareholders' interests. Riot's CEO, Jason Les, criticized Bitfarms' governance and called for the removal of interim CEO Nicolas Bonta, citing poor corporate practices. Bitfarms, meanwhile, maintained that its defensive tactics were necessary to protect regulatory procedures and the company's integrity in the face of Riot's aggressive acquisition strategy.

Despite the ongoing conflict, Bitfarms' stock has jumped over 45% in the past month. Riot, now owning a 12% stake after recent buys, wants to hold a special shareholder meeting to appoint independent directors to Bitfarms' board. This struggle for control highlights major differences in management and strategy between the two companies, with neither side ready to back down.

Share:
Back
Xtb logo

Join over 1 000 000 XTB Group Clients from around the world

The financial instruments we offer, especially CFDs, can be highly risky. Fractional Shares (FS) is an acquired from XTB fiduciary right to fractional parts of stocks and ETFs. FS are not a separate financial instrument. The limited corporate rights are associated with FS.
This page was not created for investors residing in Brazil. This brokerage is not authorized by the Comissão de Valores Mobiliários (CVM) or the Brazilian Central Bank (BCB). The content of this page should not be characterized as an investment offer in Brazil or for investors residing in that country.
Losses can exceed deposits

We use cookies

By clicking “Accept All”, you agree to the storing of cookies on your device to enhance site navigation, analyze site usage, and assist in our marketing efforts.

This group contains cookies that are necessary for our websites to work. They take part in functionalities like language preferences, traffic distribution or keeping user session. They cannot be disabled.

Cookie name
Description
SERVERID
userBranchSymbol cc 2 March 2024
test_cookie cc 25 January 2024
adobe_unique_id cc 1 March 2025
__hssc cc 8 September 2022
SESSID cc 2 March 2024
__cf_bm cc 8 September 2022
intercom-id-iojaybix cc 26 November 2024
intercom-session-iojaybix cc 8 March 2024

We use tools that let us analyze the usage of our page. Such data lets us improve the user experience of our web service.

Cookie name
Description
_gid cc 9 September 2022
_gat_UA-98728395-1 cc 8 September 2022
_gat_UA-121192761-1 cc 8 September 2022
_gcl_au cc 30 May 2024
_ga_CBPL72L2EC cc 1 March 2026
_ga cc 1 March 2026
__hstc cc 7 March 2023
__hssrc

This group of cookies is used to show you ads of topics that you are interested in. It also lets us monitor our marketing activities, it helps to measure the performance of our ads.

Cookie name
Description
MUID cc 26 March 2025
_omappvp cc 11 February 2035
_omappvs cc 1 March 2024
_uetsid cc 2 March 2024
_uetvid cc 26 March 2025
_fbp cc 30 May 2024
fr cc 7 December 2022
_ttp cc 26 March 2025
_tt_enable_cookie cc 26 March 2025
_ttp cc 26 March 2025
hubspotutk cc 7 March 2023

Cookies from this group store your preferences you gave while using the site, so that they will already be here when you visit the page after some time.

Cookie name
Description

This page uses cookies. Cookies are files stored in your browser and are used by most websites to help personalise your web experience. For more information see our Privacy Policy You can manage cookies by clicking "Settings". If you agree to our use of cookies, click "Accept all".

Change region and language
Country of residence
Language