Riot Platforms proposes to buy crypto miner Bitfarms, becomes largest shareholder

(Reuters) – Riot Platforms said on Tuesday it had offered to buy all outstanding shares of Bitfarms for about $950 million in total equity value, despite a private offer being rejected by the crypto miners’ board last month.

“We are disappointed to learn that the Bitfarms Board of Directors rejected our compelling proposal without engaging in a substantive dialogue with us,” said Jason Les, Riot Chief Executive Officer.

Riot added that it has acquired a 9.25% stake in Bitfarms, becoming the company’s largest shareholder, and plans to call a special shareholders’ meeting to add a new independent director to the crypto miner’s board.

He offered $2.30 per Bitfarm share in cash and Riot shares. Bitfarms’ US-listed shares rose 7.4% in early trading.

(Reporting by Jaiveer Singh Shekhawat in Bengaluru; Editing by Krishna Chandra Eluri)