Cryptocurrency mining firm Bitfarms has scheduled a shareholder meeting in response to a request from Riot Platforms — the firm attempting a corporate takeover of Bitfarms.
In a July 12 notice, Bitfarms’ board said it would hold a shareholder meeting on Oct. 29 following claims Riot plans to “disrupt the strategic alternatives review process” the mining firm started. In May, Riot offered $950 million to acquire Bitfarms but has met resistance from the company, which is employing various tactics to impede the takeover.
After Bitfarms implemented a strategy to prevent Riot from acquiring a 15% or higher stake in the firm, Riot launched a campaign to replace three of the mining company’s board of directors with candidates seemingly friendly to its interests. Former Bitfarms CEO Geoffrey Morphy stepped down in May after filing a $27 million lawsuit against the firm. Nicolas Bonta acted as the interim CEO until Ben Gagnon’s appointment on July 8.
“The Company remains committed to constructive engagement with all shareholders and remains hopeful that Riot will seek to constructively engage with the Company so that Bitfarms need not expend its limited cash resources to protect the interests of its stakeholders against the actions of Riot,” said Bitfarms.
Related: Bitfarms mined 21% more Bitcoin in June amid Riot takeover attempts
Riot CEO Jason Les has claimed that some of Bitfarms’ attempts to stop the takeover were ”in direct conflict with established legal and governance standards.” Cointelegraph reached out to Riot for comment but did not receive a response at the time of publication.
Bitfarms shares on the Nasdaq under the ticker BITF were trading at $2.50 at the time of publication, having fallen more than 20% since June 17. Compared to Riot’s market capitalization of more than $2.8 billion, Bitfarms has a market cap of roughly $1 billion.
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