BitFuFu Inc. plans to acquire a majority stake in an Oklahoma Bitcoin mining facility to enhance operational efficiency and expand in North America.
Quiver AI Summary
BitFuFu Inc., a prominent player in Bitcoin mining, has announced its intent to acquire a majority stake in a 51-megawatt Bitcoin mining facility in Oklahoma. The facility, which is strategically located in a sparsely populated area, is equipped with a reliable power supply at a competitive rate of around 3 cents per kilowatt-hour. This acquisition, expected to close in the first half of 2025, is part of BitFuFu's broader strategy to expand its North American operations and enhance its global power capacity. The deal is contingent upon a definitive agreement and due diligence. BitFuFu aims to solidify its leadership in the mining industry by leveraging long-term, low-cost power to improve operational efficiency and deliver sustainable value to its shareholders.
Potential Positives
- BitFuFu Inc. has signed a letter of intent to acquire a majority stake in a 51-megawatt Bitcoin mining facility in Oklahoma, advancing its North American expansion strategy.
- The facility's low power cost of approximately 3 cents per kilowatt-hour and reliable power supply enhance BitFuFu's operational efficiency in Bitcoin mining.
- This acquisition aligns with BitFuFu's goal of reaching a 1GW global power capacity, reinforcing its position as a leader in the industry.
- BitFuFu's strategic partnership with BITMAIN supports its capability to provide comprehensive mining services and foster sustainable value for shareholders.
Potential Negatives
- The acquisition is subject to further financial and legal due diligence, which introduces uncertainty and the possibility that the transaction may not close as planned.
- The press release emphasizes a lack of assurance that any transaction will be concluded, which may raise concerns among investors about the viability of the strategic move.
- The forward-looking statements include various risks and uncertainties that could lead to actual results differing materially from the company's expectations, which may undermine investor confidence.
FAQ
What is BitFuFu Inc. planning to acquire?
BitFuFu Inc. plans to acquire a majority stake in a 51-megawatt Bitcoin mining facility in Oklahoma.
When is the expected closing date for the acquisition?
The transaction is expected to close in the first half of 2025, pending negotiations and due diligence.
How does the facility's power supply contribute to BitFuFu's operations?
The facility provides a reliable 51 MW power supply at a competitive rate of approximately 3 cents per kilowatt-hour.
What benefits does BitFuFu see in this acquisition?
The acquisition is aimed at advancing BitFuFu's North American expansion strategy and enhancing operational efficiency.
Who is BitFuFu's strategic partner in the Bitcoin mining sector?
BitFuFu's strategic partner is BITMAIN, a leading digital asset mining hardware manufacturer.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$FUFU Hedge Fund Activity
We have seen 8 institutional investors add shares of $FUFU stock to their portfolio, and 2 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- MORGAN STANLEY added 1,533,950 shares (+inf%) to their portfolio in Q3 2024, for an estimated $6,197,158
- EXCHANGE TRADED CONCEPTS, LLC removed 132,959 shares (-20.1%) from their portfolio in Q3 2024, for an estimated $537,154
- MIRAE ASSET GLOBAL ETFS HOLDINGS LTD. added 70,078 shares (+inf%) to their portfolio in Q3 2024, for an estimated $283,115
- WELLINGTON MANAGEMENT GROUP LLP added 27,137 shares (+inf%) to their portfolio in Q3 2024, for an estimated $109,633
- XTX TOPCO LTD added 26,439 shares (+inf%) to their portfolio in Q3 2024, for an estimated $106,813
- MMCAP INTERNATIONAL INC. SPC removed 4,232 shares (-25.6%) from their portfolio in Q3 2024, for an estimated $17,097
- GEODE CAPITAL MANAGEMENT, LLC added 3,069 shares (+21.5%) to their portfolio in Q3 2024, for an estimated $12,398
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
SINGAPORE, Jan. 16, 2025 (GLOBE NEWSWIRE) -- BitFuFu Inc., (“BitFuFu” or “the Company”) (NASDAQ: FUFU), a global leader in Bitcoin mining and comprehensive mining services, announced today that it has signed a letter of intent to acquire a majority stake in a 51-megawatt (MW) Bitcoin mining facility in the State of Oklahoma, United States.
Strategically located in an unpopulated area, the facility has completed construction of its power and mining infrastructure. It boasts a reliable power supply of 51 MW from the grid at a competitive average cost of approximately 3 cents per kilowatt-hour. Operating air-cooled Bitcoin miners, the facility has consistently delivered high levels of hashrate efficiency.
The transaction, expected to close in the first half of 2025 if consummated, is structured as a majority equity acquisition. The proposed transaction is subject to a definitive agreement to be negotiated between the parties, conditioned upon further financial and legal due diligence, as well as other customary closing conditions. There is no assurance that any transaction will be concluded.
“This acquisition would represent a pivotal step in advancing our North American expansion strategy and 1GW global power capacity build-up plan," said Leo Lu, Chairman and CEO of BitFuFu. "By securing access to long-term, low-cost, and reliable power, we are not only enhancing our operational efficiency but also reinforcing our position as a leader in Bitcoin mining. Our ability to identify and capitalize on strategic opportunities is a testament to the scale of our global hashrate network and the insights into mining operations. This transaction underscores our unwavering commitment to delivering sustainable, long-term value to our shareholders while fostering strategic partnerships within the industry."
About BitFuFu Inc.
BitFuFu Inc. is a global leader in Bitcoin mining and comprehensive mining services, providing customers with one-stop solutions including cloud-mining. BitFuFu received early investment from BITMAIN, a world-leading digital asset mining hardware manufacturer, and remains BITMAIN's strategic partner in the Bitcoin mining and mining services space.
BitFuFu is dedicated to fostering a secure, compliant, and transparent blockchain infrastructure, providing a variety of stable and intelligent digital asset mining solutions to a global customer base. Leveraging its expanding global mining facility network and strategic partnership with BITMAIN, BitFuFu enables institutional customers and digital asset enthusiasts to mine digital assets efficiently.
For more information, please visit
https://ir.bitfufu.com/
.
Forward-Looking Statements
This press release includes “forward-looking statements” within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by the use of words such as “estimate,” “plan,” “project,” “forecast,” “intend,” “will,” “expect,” “anticipate,” “believe,” “seek,” “target” or other similar expressions that predict or indicate future events or trends. Statements that are not historical facts, including statements about the Company’s beliefs and expectations, are forward-looking statements. These statements are based on various assumptions, whether or not identified in this press release, and on the current expectations of BitFuFu's management and are not predictions of actual performance. These statements involve risks, uncertainties and other factors that may cause BitFuFu's actual results, levels of activity, performance, or achievements to be materially different from those expressed or implied by these forward-looking statements. Although the Company believes that it has a reasonable basis for each forward-looking statement contained in this press release, the Company cautions you that these statements are based on a combination of facts and factors currently known and projections of the future, which are inherently uncertain. All information provided in this press release is as of the date of this press release and the Company does not undertake any duty to update such information, except as required under applicable law.
For investor inquiries, please contact:
Charley Brady
Vice President, Investor Relations
charley.b@bitfufu.com
General inquiries:
BitFuFu Investor Relations
ir@bitfufu.com
BitFuFu Media Relations
pr@bitfufu.com
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
