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.
DISCLOSURE
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.
Bitcoin Magazine Why Legendary Investor Bill Miller IV has “Never Been More Bullish on Bitcoin”…
Bitcoin Magazine Strategy CEO Phong Le: We Want to Be the JPMorgan of Bitcoin Strategy’s…
Bitcoin Magazine Coinbase Policy Chief: Strategic Bitcoin Reserve Bill Outlook The Clarity Act’s cloture vote…
Bitcoin Magazine T. Rowe Price’s Blue Macellari: Bitcoin is Now Core to the Debasement Conversation…
Bitcoin Magazine Move Over Housing – Bitcoin is Gen Z’s New Wealth Building Asset Gen…
Market experts view bitcoin’s price stability as evidence of its fundamental independence from Washington, maintaining…