CleanSpark has announced the strategic acquisition of GRIID Infrastructure, a critical point in the Bitcoin mining sector.
CleanSpark has announced the strategic acquisition of GRIID Infrastructure, a critical point in the Bitcoin mining sector and one that edges it closer to its bigger plans for operational capacity. The all-stock merger, concluded on Oct. 31, values the deal at $155 million as CleanSpark flexes more muscles in Tennessee, setting up for wide expansion in its mining business.
Zach Bradford, CEO of CleanSpark, said: “I'm pleased to announce the completion of our acquisition of GRIID Infrastructure Inc., a strategic move that allows us to grow our Bitcoin mining capacity in the state of Tennessee, which we intend to build to over 400 MW in the coming years.”
The merger agreement converts each share of GRIID common stock into approximately 0.06959 shares of CleanSpark common stock, bringing together valuable resources and talent from the companies.
The acquisition builds upon a previous partnership, wherein GRIID hosted 50 megawatts of mining capacity for CleanSpark. This pre-existing relationship has made things relatively seamless, according to Bradford, with both companies’ teams having already developed good working relationships over the last three months while preparing for the merger.
The announcement is part of CleanSpark's recent acquisition of seven mining facilities in the Knoxville area that reportedly increased the company's hashrate by 22%. It also comes on the back of impressive growth, having attained a 187% increase over the previous 12 months.
Despite these positive developments, shares of CleanSpark plunged 12% to $10.61 on Thursday’s trading session.
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