Bitfarms’ “poison pill” defense strategy was ruled invalid by the court, but Riot Platforms continues to expand

A Canadian tribunal has nullified Bitfarms’ “poison pill” strategy, enabling Riot Platforms to advance its acquisition efforts.

Initial Poison Pill Disabled

The poison pill would have activated if an entity acquired 15% of Bitfarms' shares.

Jason Les, CEO of Riot, stated the ruling benefits Bitfarms shareholders and criticises Bitfarms’ governance.

Bitfarms has introduced a new poison pill, activating if any entity accumulates over 20% of shares without board approval.

Rejected Offer

Bitfarms rejected Riot’s $950 million acquisition offer, deeming it undervalued at $2.30 per share despite a 24% premium over the average share price.

The board found the offer insufficient and not in shareholders' best interests.

Riot's Persistent Efforts

Despite defensive measures, Riot is determined to acquire Bitfarms.

Riot launched a website addressing governance issues at Bitfarms and proposed board restructuring.

Riot expanded by acquiring Block Mining for $92.5 million, boosting its mining capacity and geographic reach.

Conclusion

Riot Platforms continues to pursue Bitfarms amid defensive tactics, indicating a strategic and aggressive acquisition approach.