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Bitcoin Miner PrimeBlock Plans to Go Public With $1.25B SPAC Merger

The deal is expected to close in the second half of this year.Read MoreFeedzy

Bitcoin miner PrimeBlock confirmed its plan to go public through a merger with 10X Capital Venture Acquisition Corp. II (VCXA), a special purpose acquisition company (SPAC), for an estimated enterprise value of $1.25 billion.

Last year, the value of the deal was said to be around $1.5 billion, according to a Bloomberg report. The SPAC was seeking to raise at least $150 million through private investment in public equity (PIPE) for the deal, the report added.

PrimeBlock has secured a $300 million committed equity financing facility from CF Principal Investments LLC, an affiliate of Cantor Fitzgerald, the company said in a statement on Friday.

PrimeBlock generated $24.4 million in revenue for the fourth quarter of 2021 and has over 110 megawatts of installed data center capacity across its 12 facilities in North America.

Former Goldman Sachs investment banking veteran Gaurav Budhrani will be CEO of the combined company.

The miner said it currently sources about 60% of its power from non-carbon emitting sources and plans to offset the remainder. The power source is just above the 58.5% sustainable energy mix that miners globally are now utilizing, according to the Bitcoin Mining Council’s estimate.

The merger is expected to be closed in the second half of 2022 and the merged company will trade on the Nasdaq.

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