Bitcoin Mining Startup Primeblock to Go Public via SPAC Merger as SEC Targets SPAC Deals – Primeblock, a bitcoin mining startup, has announced its intention to go public through a special purpose acquisition company (SPAC) deal. Primeblock announced a SPAC merger with 10X Capital, which is expected to be completed by the end of the second quarter of 2022.
Primeblock will follow in the footsteps of a number of other mining companies that have already gone public. Companies like Marathon Digital Holdings and Riot Blockchain are listed on Nasdaq. Primeblock’s overall worth, including debt, will increase to $1.25 billion as a result of the acquisition with 10X Capital.
During the SPAC merger announcement, the company also revealed that it had managed to secure $300 million in equity financing from Cantor Fitzgerald & Co.
Primeblock runs data centers in North America and claims to have 1,000 petahash of hashrate on its website. Primeblock claims to have over 70 megawatts of capacity across its mining facilities, which equates to 0.6 percent of Bitcoin’s global hashrate today.
Hosting services, logistics, equipment supply chain resources, and mining containers are all available through the mining operation. According to the company’s website, “Primeblock’s completely integrated approach to mining and digital infrastructure is a crucial advantage that enables industry-leading deployment lifecycle from design to complete setup.
Bitcoin Mining Startup Primeblock to Go Public via SPAC Merger as SEC Targets SPAC Deals – “Following the merger, Primeblock’s chief executive officer Gaurav Budhrani will lead the company. Primeblock has been following a wave of crypto companies that have gone public, particularly those that have used a special purpose acquisition company deal. SPAC deals have been used by companies such as Apifiny, Griid, Circle, Coincheck, and Bitdeer.
The Securities and Exchange Commission of the United States, on the other hand, has released new draft rules for SPAC disclosures. If the plans become law, SPAC deals may face legal challenges, and SPACs will be required to reveal a lot more financial information about sponsors and blank-check corporations.