Bitcoin miner CleanSpark Inc. has officially entered into a merger agreement with GRIID Infrastructure Inc., acquiring GRIID in an all-stock transaction valued at $155 million.
The merger is expected to improve CleanSparkâs capabilities through an exclusive hosting agreement available through GRIID.
As part of the agreement, 20 megawatts will be allocated to CleanSpark immediately, increasing its operational capacity. GRIID operates an R&D centre in Texas and an equipment repair centre in Tennessee.
The deal is expected to close in the third quarter of 2024, said CleanSpark in a statement.
âThis acquisition would give us a clear and steady path over the next three years to accomplish in Tennessee what we proudly achieved in Georgia over the past three years,â said Zach Bradford, CleanSparkâs CEO.
âThat achievement was to build out over 400 MW of infrastructure backed by valuable, long-term power contracts,â adds Bradford.
CleanSpark Acquires Mining Facilities in Georgia
CleanSpark has been busy making multiple acquisitions this year. Earlier this month, CleanSpark acquired five new turnkey Bitcoin mining facilities in rural Georgia. The $25.8 million cash deal will enhance CleanSparkâs infrastructure, adding 60 megawatts of capacity and increasing the companyâs operating hash rate.
CleanSpark also announced a major infrastructure deal to capitalize on Bitcoinâs rising prices: it purchased 60,000 Bitmain S21 miners for $193.2 million at the start of the year.
In February, CleanSpark also announced the acquisition of four new mining facilitiesâthree in Mississippi and one in Dalton, Georgia.
In its latest merger agreement by integrating GRIIDâs assets, CleanSpark aims to scale its operations and improve efficiency, a critical factor in the ever-evolving and highly competitive bitcoin mining industry.
The hosting agreement is effective immediately and gives CleanSpark the necessary infrastructure to support its expanded operations, highlighting the importance of reliable and scalable energy solutions in crypto mining.
The merger occurs against a backdrop of dynamic shifts in the Bitcoin landscape. In 2024, the crypto sector has continued to gain momentum and attract investment from the broader financial community.
As the crypto industry continues to mature, similar mergers and consolidations are likely to become more common, driven by the need for enhanced operational efficiency and competitive advantage.$BTC $BTC