TechFlow news, on August 21, according to CoinDesk, Bitcoin mining company Bitfarms (BITF) announced the acquisition of rival Stronghold Digital (SDIG) for $175 million in stock and debt. The two parties have signed a definitive merger agreement, with the deal expected to close in the first quarter of 2025. Under the terms, Bitfarms will exchange 2.52 shares for each Stronghold share, representing a 71% premium over Stronghold’s 90-day volume-weighted average price through August 16.
This transaction comes weeks after industry peer Riot Platforms (RIOT) abandoned its attempt to acquire Bitfarms. In June, Riot had initially sought to acquire Bitfarms but later shifted strategy, opting instead to reform Bitfarms’ board and increase its stake, now holding nearly 19% of Bitfarms. Stronghold had publicly stated as early as May that it was exploring strategic alternatives, including a potential sale of the company. This acquisition by Bitfarms may reflect Stronghold’s pursuit of industry consolidation and economies of scale.
