Bitcoin

April

Riot Platforms Inc. on Tuesday made a huge announcement of acquiring a 9.25% stake in Bitfarms Ltd. However it is planning to launch a public takeover offer for the smaller <a href="https://news.todayq.com/bitcoin-miners-hit-with-lowest-revenue-btc-sell-off-imminent/" rel="noopener noreferrer nofollow">Bitcoin miner</a>. This comes after Bitfarms rejected an earlier approach. Riot makes big move 
According to reports, Riot had made an offer of $2.30 per share in cash and stock by valuing Bitfarms at approximately $950 million. Riot reportedly believes that Bitfarms’ recent management changes are highlighting the corporate governance issues. They might have plans to initiate a shareholder vote to add new directors to Bitfarms’ board, it added
This move is expected to begin a merging shift in the Bitcoin mining sector, especially following the recent Bitcoin halving event. The report mentioned that big mining companies like Riot are actively seeking acquisitions to push their operations. This is being done to adapt to new economic conditions in the industry.&nbsp;
A merger between Riot and Bitfarms is expected to create the world’s largest Bitcoin miner by projected computing power and enhance its Bitcoin production capabilities.
As of now, Riot is holding a market value of about $3 billion, while Bitfarms’ shares recently recorded a surge to C$2.86 in Toronto. It helped to hit a market value of around $750 million.&nbsp;
It is important to note that Bitfarms’ board had previously rejected Riot’s offer made on April 22 without any discussions. Under the proposal, Bitfarms shareholders would get to hold about 17% of the combined entity. Is it a breakthrough? 
Riot is also intending to call for a special shareholder meeting to appoint new independent directors. This might happen after Bitfarms’ annual meeting on May 31.
Data shows that Riot Platforms Inc’s (NASDAQ: RIOT) share price has constantly declined over the past 6 months. It has dropped by almost 20% over this period. However, It has gained by more than 2% in the last 5 trading days. RIOT is trading at an average share price of $10.37, at the press time.
Bitcoin, the biggest crypto, has also seen a minor decline over the last 7 days. BTC price dropped by 3.5% over the period. It is trading at an average price of $68,332, at the press time. Its 24 hour trading volume is up by 62% to stand at $32.12 billion.

Riot makes $950M offer to Bitfarms, Will it accept the takeover?

Todayq News

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