TechFlow reported on August 21, citing Bloomberg and sources familiar with the matter, that Bitcoin mining company Bitfarms is in talks to acquire Stronghold Digital Mining for approximately $164 million, while actively fending off acquisition attempts by Riot Platforms. Under the proposed deal, Stronghold shareholders would receive about 2.5 shares of Bitfarms stock for each share they hold, and the transaction includes assumption of debt.
Stronghold had previously announced in May that it was considering a sale, and currently has a market capitalization of around $66 million. Meanwhile, Riot, which owns nearly 19% of Bitfarms, has made a $950 million takeover bid that Bitfarms rejected. To defend against the hostile takeover, Bitfarms has adopted a "poison pill" strategy and will hold a special shareholder meeting on October 29 to counter Riot's attempt to replace three board members.
