Riot Blockchain to buy Whinstone US for $651 million

Nasdaq-listed Bitcoin-mining company Riot Blockchain has signed an agreement to acquire Whinstone US, the bitcoin-mining power provider.

Riot to Acquire Whinstone, Creating a US-Based Industry Leader in Bitcoin Mining #Bitcoin #riot https://t.co/7fXcOUGqFy

— Riot Blockchain (@RiotBlockchain) April 8, 2021

Whinstone’s capacity is estimated at 750 MW with potential to increase by another 300 MW. The approximate value of the deal is $651 million — $80 million and 11.8 million Riot Blockchain shares.

“Under Riot’s management, it will become North America’s largest Bitcoin mining operation with low electricity costs and one of the most highly skilled teams in the industry,” said Riot Blockchain CEO Jason Les.

The company expects to close the deal in the second quarter of 2021, subject to regulatory approval.

In November 2019, the German mining company Northern Data acquired Whinstone. At the time, the provider was building in Texas a Bitcoin farm spanning 57 football fields.

Earlier in April 2021, Riot Blockchain to purchase 42,000 ASIC miners models Antminer S19j for a total of $138.5 million.