news.bitcoin.com
In a significant expansion move, Cleanspark, a leading U.S. bitcoin mining company, has announced the acquisition of its rival firm Griid for $155 million. This strategic all-stock transaction aims to enhance Cleanspark’s mining capacity, particularly in the aftermath of Bitcoin’s fourth halving event which has increased the pressure on mining profitability.
Cleanspark Acquires Griid in Strategic Move
The acquisition, first reported on by theminermag.com, which includes the assumption of debt, brings 20 megawatts (MW) of additional hosting capacity to Cleanspark immediately upon closing. Cleanspark‘s CEO, Zack Bradford, stated that this merger is poised to substantially increase their operational capacity. Bradford expects to surpass 100 MW in Tennessee by the end of this year, with plans to reach 200 megawatts by 2025 and over 400 megawatts by 2026.
This deal represents the latest in a series of consolidations within the bitcoin mining industry, as companies seek to leverage scale to maintain competitiveness and profitability. The merger also follows a tumultuous week for Griid, whose stock prices fluctuated dramatically. The mining publication also reported on Thursday that stock exchanges halted trading of Griid’s shares GRDI.
“GRDI plunges 50% from $2.34 to $1.17 after trading resumes,” the mining news outlet’s Telegram channel reported at 10:04 a.m. EDT on Thursday.
What do you think about Cleanspark acquiring Griid? Share your thoughts and opinions about this subject in the comments section below.