tl;dr
Bitcoin mining giant Riot Platforms has launched a website, "www.ABetterBitfarms.com," to rally support for its proposal to overhaul Bitfarms' board of directors. The aim is to address perceived governance failures and introduce new leadership, with the goal of facilitating a potential merger. Riot ...
Riot Platforms, a Bitcoin mining giant, has launched a website, "www.ABetterBitfarms.com," to rally support for its proposal to overhaul Bitfarms' board of directors. This move aims to address perceived governance failures and introduce new leadership, with the goal of facilitating a potential merger. Riot has nominated three independent directors and is pushing for these board changes to unlock shareholder value and advance merger discussions, following a rejected $950 million acquisition offer.
Riot's strategy seeks to restore shareholder confidence and create a constructive environment for acquisition discussions. The launch of "www.ABetterBitfarms.com" serves as a platform for shareholders to learn about the perceived governance failures at Bitfarms and Riot’s plan to introduce fresh leadership. The crypto mining firm has nominated three independent directors: John Delaney, a former Jacksonville mayor; Amy Freedman, ex-CEO of Kingsdale Advisors; and Ralph Goehring, a former CFO in the energy sector. Riot believes these candidates will bring much-needed expertise and new perspectives to Bitfarms.
Riot’s bold move follows its earlier $950 million acquisition offer for Bitfarms, which was rejected. Frustrated by what it describes as poor governance that blocks productive discussions, Riot is now pushing for changes in leadership to ensure a serious dialogue about the merger can take place. Riot seeks to restore shareholder confidence and introduce new ideas to drive Bitfarms forward through these proposed board changes.
Riot has previously called for a special shareholders’ meeting at Bitfarms to discuss governance changes, including a vote to remove Chairman Nicolas Bonta and director Andrés Finkielsztain. This meeting will also address the appointment of new directors proposed by Riot. The firm argues that new leadership is essential to foster a constructive environment for acquisition discussions.