Shares of crypto-mining company Argo Blockchain (ISIN: GB00BZ15CS02, WKN: A2JR3A, ticker symbol: 0XP, LSE ticker: ARB) rose nearly 140% today on new deals that expose the company at risk of bankruptcy. say XTB experts.
The company announced it would sell Helios to Galaxy Digital for $65 million and is in the process of refinancing a new asset-backed loan. The sale agreement will reduce the company’s total debt by $41 million. The company’s largest “cryptocurrency mine” and one of the largest in the United States is being acquired by investment firm Galaxy Digital owned by Mike Novogratz. Argo Blockchain also announced a $35 million loan from Galaxy and the sale of all mined BTC.
The sale agreement comes just six months after Argo launched the “mine” in May 2022. The plant supports 200 megawatts (MW) of electricity. The company’s other facility, Baie Comeau, will supply approximately 15 MW. Despite the sale of the Helios facility, Argo Blockchain has not sold any of its mining machines, which continue to operate in the Helios facility. Company CEO Peter Wall said, “Continuing Helios operations will allow us to continue to source electricity from the Texas grid and participate in ancillary services provided by Ercot.
Wall, CEO of Argo Blockchain, believes the deal will allow the company to weather the “cryptocurrency winter”, improving liquidity and continuing cryptocurrency mining. According to the CEO, the deal with Galaxy Digital was a necessary step in the bull market. The mining industry is still grappling with the pressure of high energy costs and the falling price of bitcoin, which is still below the cost of mining.
Argo Blockchain Stock Exchanges:
Tradegate Stock Price Argo Blockchain:
EUR 0.0754 +74.54% (28.12.2022, 16:19)
LSE Stock Argo Blockchain Stock Price:
£5.67 +51.20% (28.12.2022, 16:04)
Argo Blockchain ISIN share:
GB00BZ15CS02
WKN Argo Blockchain Stock:
A2JR3A
Argo Blockchain Stock Symbol:
0XP
LSE Stock Symbol:
BRA
Brief profile of Argo Blockchain PLC:
Argo Blockchain PLC (ISIN: GB00BZ15CS02, WKN: A2JR3A, Ticker Symbol: 0XP, LSE Symbol: ARB) is a cryptocurrency mining company. Argo is a mining-as-a-software (MaaS) service provider that allows customers to mine Bitcoin Gold, Ethereum, and other alternative coins (altcoins) through the cloud. The UK-based company’s mining infrastructure is located in several locations in Quebec, Canada, and includes approximately 18,000 mining machines. (28.12.2022/ac/a/a)
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