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On September 23, 2024, Bitfarms and Riot Platforms announced that they have finalized a settlement agreement that includes new board appointments and a standstill arrangement effective until 2026.
We are pleased to announce that #Bitfarms has entered into a definitive settlement agreement with @RiotPlatforms.
For more details, see the full release here: https://t.co/U5H6EMxgf7#Bitcoin #BitcoinMining #BITF pic.twitter.com/EJYfCxD2RA— Bitfarms (@Bitfarms_io) September 23, 2024
A press release distributed to Cryptonews indicates that the agreement will result in Andrés Finkielsztain resigning from Bitfarms’ board, while Amy Freedman will be appointed as a new director.
Settlement Agreement Between Bitfarms and Riot Platforms
The agreement stipulates that Riot will withdraw its prior requisition and limit its actions until the 2026 Bitfarms Annual Meeting, with certain specified exceptions.
This standstill arrangement is designed to maintain stability within Bitfarms’ governance framework over the next two years.
Furthermore, Bitfarms plans to propose an expansion of its board from five to six members at a special meeting, where shareholders will vote on the new independent director nominee.
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“We recognize the importance of refreshment and having the right mix of skills, experience and diversity, and we are always open to adding qualified candidates with valuable insights and perspectives to strengthen our Board,” stated Independent Chairman Brian Howlett.
Future Plans and Upcoming Meeting
The agreement also provides Riot with certain rights to acquire additional shares in Bitfarms, contingent upon maintaining a stake of 15% or more of the company’s outstanding common shares.
Bitfarms has proposed a shareholder rights plan that will be voted on during the upcoming special meeting.
This plan aims to establish a structured approach for any potential changes in ownership of Bitfarms shares.
“We remain focused on diversifying the business beyond Bitcoin mining into exciting and synergistic new areas like energy generation, energy trading, heat recycling and other high value revenue streams like HPC/AI,” remarked Bitfarms CEO Ben Gagnon.
The special meeting, initially set for November 6, may be rescheduled to accommodate these new proposals. However, Bitfarms has assured shareholders that the meeting will not be postponed beyond November 20, and updates will be communicated as they become available.
The post Bitfarms and Riot Reach Agreement With New Board Appointments appeared first on Cryptonews.
