Bitcoin

Read

Riot Platforms says the company “will continue to push” to address the “serious corporate governance issues” at Bitfarms despite the recently adopted “poison pill.” 
The Rights Plan (commonly referred to as a “poison pill”), which <a href="https://crypto.news/bitfarms-adopts-poison-pill-amid-riot-platforms-takeover-attempt/" target="_blank" rel="">was adopted</a> by Canadian Bitcoin <a href="https://crypto.news/tag/mining/" target="_blank" rel="">mining</a> firm <a href="https://crypto.news/tag/bitfarms/" target="_blank" rel="">Bitfarms</a> to protect itself from takeover attempts, is in “direct conflict with established legal and governance standards,” <a href="https://crypto.news/tag/riot-blockchain/" target="_blank" rel="">Riot Platforms</a> said in <a href="https://www.riotplatforms.com/riot-comments-on-bitfarms-adoption-of-shareholder-unfriendly-poison-pill?data=shau8crypto90unews5tef" target="_blank" rel="">a Jun. 12 press release</a>. 
The Colorado-headquartered company says the recent decision made by its rival is “further evidence of the Bitfarms board of directors disregarding good corporate governance,” adding that it will continue to address the “serious issues” in Bitfarms’ governance process. 
<blockquote class="wp-block-quote is-layout-flow wp-block-quote-is-layout-flow"> 
 “We will continue to push to address the serious corporate governance issues at Bitfarms and ensure that shareholders have a say on the company’s path forward.” 
 Riot Platforms CEO Jason Les 
</blockquote> 
 You might also like: <a href="https://crypto.news/bitcoin-miner-riot-platforms-acquires-12-stake-in-bitfarms/" rel=""> Bitcoin miner Riot Platforms acquires 12% stake in Bitfarms </a> 
Les also noted that Bitfarms’ recent actions indicated their discontent, highlighting the board’s decision to vote out the company’s co-founder Emiliano Grodzki less than two weeks ago. 
Bitfarms defended its decision in a press release, stating that the board unanimously approved the shareholder rights plan to “preserve the integrity” of its strategic alternatives review process. The company also asserted that the plan is “in the best interests of all Bitfarms’ shareholders.” 
Under the Rights Plan, Bitfarms plans to issue additional shares to dilute an investor’s stake if an entity aims to hold 15% of the firm’s shares. Riot Platforms, which currently holds 47,830,440 common shares, representing 11.62% of Bitfarms’ shares, recently <a href="https://crypto.news/bitfarms-founders-may-not-be-acting-in-best-interests-of-shareholders/" target="_blank" rel="">signaled its intention</a> to acquire all of Bitfarms’ issued and outstanding common shares for $950 million. 
 Read more: <a href="https://crypto.news/analyst-riot-wont-acquire-bitfarms-premium-is-not-high-enough/" rel=""> Analyst: Riot won’t acquire Bitfarms, ‘premium is not high enough’ </a>

Riot says ‘poison pill’ adopted by Bitfarms conflicts with ‘legal and governance standards’

crypto.news

Other articles published on Jun 13, 2024

Joe Biden’s Administration Sues Coinbase Yet Needs It For Crypto Donations

Citron Research Exits GameStop Short Position Amid Market Irrationality and Cult-Like Shareholder...

Daddy Tate Price Soars 165% As Andrew Tate Promotes It Amid Insider Trading Claims, And Traders P...

Vitalik Buterin Envisions a Promising Future for Blockchain

Tron’s Illegal Involvement and Chainlink’s Uncertain Prices Make it Difficult to Keep Pace with Q...

Investors are Racking Profits through Staking Rewards with MoonBag while ditching BitBot, Dogwifhat

Join our free newsletter for daily crypto updates!