Bitcoin miner Rhodium Enterprises plans to checklist on the Nasdaq underneath the ticker “RHDM” by way of a reverse merger with administration consulting agency SilverSun Applied sciences Inc., Bloomberg reported Sept. 30.
The transaction is scheduled to shut later this yr and funding financial institution B. Riley will act as monetary advisor to Rhodium.
Rhodium, one of many few main bitcoin miners to make use of a proprietary liquid cooling system, has been scrambling for a list since final yr, prompting its debut within the $1.5 billion to $1.7 billion valuation vary on the Nasdaq earlier this yr A pointy drop within the value of cryptocurrencies like Bitcoin (BTC) delayed plans for a public providing.
Pursuant to the official submitting, SilverSun shareholders will obtain a minimal money dividend of $1.50 per share for a complete of $8.5 million and extra inventory dividends.
Beneath the phrases of the merger settlement, Rhodium will even spend money on a brand new subsidiary that features SilverSun’s conventional enterprise. SilverSun’s board members will proceed to serve after the closing of the transaction.
Rhodium CEO Chase Blackmon stated in a press release:
“We imagine that entry to US capital markets is paramount to sustained, long-term success in our capital-intensive business. We imagine this strategic transaction will unlock long-term worth for Rhodium’s shareholders.”
Rhodium, which not too long ago closed a $11.9 million funding spherical, plans to lift $30 million by way of debt, choices and securities, SEC filings confirmed earlier this month.
In keeping with IPO paperwork filed with the SEC in January, the corporate had deliberate to difficulty 7.69 million shares at $12 to $14 apiece.
Texas-based Rhodium mines bitcoins in-house utilizing “proprietary liquid-cooled mining expertise,” permitting the corporate to pay a mean of $2,507 in utility payments per bitcoin it mines in 2021, based on the corporate’s web site.
For the 9 months ended September 30, Rhodium reported internet earnings of $46.1 million, or $0.10 per share, on income of $82.1 million.
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