US mining giant Riot has acquired Kentucky-based Block Mining in a deal valued at $92.5 million.
July24, Riot Platforms said the acquisition was valued at $18.5 million in cash and $74 million in Riot common stock from the company's balance sheet.
Block #Mining said it could receive up to $32.5 million in additional consideration depending on its performance through 2025.
Block Mining said the deal will immediately increase hash rates and provide access to additional energy markets outside of the Texas Electric Reliability Council.
Block Mining consists of two power plants in Kentucky with a current capacity of 60 megawatts. According to Riot, the company plans to increase capacity to 110 megawatts by the end of 2024.
Block Mining also owns a site in Kentucky adjacent to an existing substation where it can build 60 megawatts and eventually expand to 150 megawatts.
Riot CEO Jason Less said the acquisition will allow the company to diversify nationally and expand into Kentucky.
he added that it will also enable the company to expand its Kentucky operations to more than 300 MW and accelerate progress toward its goal of growing to 100 exahash per second (EH/s).
This partnership provides Riot with a unique, cost-effective opportunity to expand its Kentucky operations into new energy markets, said Michael Stolzner, CEO and co-founder of the #blockchain company.
In June, Riot Platforms' #hashrate skyrocketed, increasing by 50 percent over the month, mining 255 #BTC .
The company completed the installation of equipment at its Corsicana, Texas, facility and utilized additional capacity at its Rockdale, Texas, facility, which contributed to the hashrate increase.
Riot is also actively pursuing the acquisition of rival mining company Bitfarms, having offered to buy it for $950 million in mid-June.
Riot Platforms, through its U. S.
Read us at: Compass Investments
