Ontario Capital Markets Tribunal Terminates Bitfarms’ Poison Pill at Riot's Request
Luisa Crawford Jul 25, 2024 03:22
Riot Platforms successfully convinces the Ontario Capital Markets Tribunal to terminate Bitfarms' Poison Pill, aimed at protecting shareholder rights.
Riot Platforms, Inc. (NASDAQ: RIOT) announced a significant victory as the Ontario Capital Markets Tribunal has agreed to terminate the June 10, 2024 shareholder rights plan, commonly known as the 'Poison Pill,' implemented by the Board of Directors of Bitfarms Ltd. (NASDAQ/TSX: BITF). The Tribunal's decision effectively nullifies the Poison Pill, which aimed to protect Bitfarms from potential takeover attempts by limiting shareholders' ability to acquire more than a 15% stake in the company.
Details of the Tribunal's Ruling
The ruling from the Ontario Capital Markets Tribunal marks a pivotal moment for Riot in its ongoing efforts to challenge Bitfarms' corporate governance. Riot’s CEO, Jason Les, praised the Tribunal’s swift and decisive action, stating, "This ruling from the Tribunal in favor of Riot’s application is a win for all Bitfarms shareholders. The adoption of the off-market Poison Pill is yet another example of the broken corporate governance that plagues Bitfarms and of the ongoing attempts by the Bitfarms directors to entrench themselves."
Implications for Bitfarms Shareholders
Les further emphasized the importance of electing Riot’s three director nominees—John Delaney, Amy Freedman, and Ralph Goehring—at the upcoming Special Meeting of Shareholders scheduled for October 29, 2024. According to Les, these nominees are independent of both Riot and Bitfarms and possess the qualifications needed to introduce fresh perspectives and improve corporate governance at Bitfarms.
About Riot Platforms
Riot Platforms, a Nevada-based Bitcoin mining and digital infrastructure company, aims to be the world’s leading Bitcoin-driven infrastructure platform. The company operates Bitcoin mining facilities in central Texas and electrical switchgear engineering and fabrication operations in Denver, Colorado. Riot's mission is to positively impact the sectors, networks, and communities it touches through innovation and strong community partnerships.
For more information, visit riotplatforms.com.
Forward-Looking Statements
This announcement contains forward-looking statements, including those concerning the future performance and governance of Bitfarms. These statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected. Detailed information regarding these risks can be found in Riot’s filings with the U.S. Securities and Exchange Commission (SEC) and other regulatory bodies.
For more details, view the source version on Riot Platforms.
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