Argo Blockchain PLC Announces £4.2 million Subscription by Institution
Argo Blockchain (LSE:ARB)(NASDAQ:ARBK) has secured £4.2 million through a subscription of 76,900,000 ordinary shares at 5.5 pence per share. The funds will support strategic initiatives, including the potential relocation or sale of mining equipment from the Helios facility in Texas, maintaining Bitcoin mining operations in Quebec, and exploring diversification into high-performance computing (HPC). The subscription will be executed through a cashbox mechanism, with the shares ranking pari passu with existing ordinary shares. Following the subscription, Argo will have 717,250,353 ordinary shares in issue.
Argo Blockchain (LSE:ARB)(NASDAQ:ARBK) ha ottenuto 4,2 milioni di sterline attraverso un abbonamento di 76.900.000 azioni ordinarie a 5,5 pence per azione. I fondi sosterranno iniziative strategiche, inclusa la potenziale ricollocazione o vendita delle attrezzature di mining dalla struttura di Helios in Texas, il mantenimento delle operazioni di mining di Bitcoin in Quebec e l'esplorazione della diversificazione nell'informatica ad alte prestazioni (HPC). L'abbonamento sarà eseguito tramite un meccanismo di cashbox, con le azioni che avranno lo stesso rango delle azioni ordinarie esistenti. Dopo l'abbonamento, Argo avrà 717.250.353 azioni ordinarie emesse.
Argo Blockchain (LSE:ARB)(NASDAQ:ARBK) ha asegurado £4.2 millones a través de una suscripción de 76,900,000 acciones ordinarias a 5.5 peniques por acción. Los fondos apoyarán iniciativas estratégicas, incluyendo la posible reubicación o venta de equipos de minería de la instalación Helios en Texas, el mantenimiento de las operaciones de minería de Bitcoin en Quebec, y la exploración de la diversificación en computación de alto rendimiento (HPC). La suscripción se llevará a cabo a través de un mecanismo de caja, con las acciones clasificándose en igualdad de condiciones con las acciones ordinarias existentes. Después de la suscripción, Argo tendrá 717,250,353 acciones ordinarias emitidas.
아르고 블록체인 (LSE:ARB)(NASDAQ:ARBK)는 76,900,000 보통주를 주당 5.5펜스로 구독하여 420만 파운드를 확보했습니다. 이 자금은 텍사스 헬리오스 시설에서 채굴 장비의 이전 또는 판매 가능성을 포함한 전략적 이니셔티브를 지원하고, 퀘벡에서 비트코인 채굴 작업을 유지하며, 고성능 컴퓨팅(HPC)으로의 다각화를 탐색하는 데 사용될 것입니다. 구독은 현금 박스 메커니즘을 통해 실행되며, 주식은 기존의 보통주와 동등한 순위를 가집니다. 구독 후, 아르고는 717,250,353개의 보통주를 발행하게 됩니다.
Argo Blockchain (LSE:ARB)(NASDAQ:ARBK) a sécurisé 4,2 millions de livres grâce à une souscription de 76 900 000 actions ordinaires à 5,5 pence par action. Les fonds soutiendront des initiatives stratégiques, y compris le déménagement potentiel ou la vente d'équipements de minage de l'installation Helios au Texas, le maintien des opérations de minage de Bitcoin au Québec et l'exploration de la diversification dans le calcul haute performance (HPC). La souscription sera effectuée par le biais d'un mécanisme de cashbox, les actions étant classées au même rang que les actions ordinaires existantes. Après la souscription, Argo aura émis 717 250 353 actions ordinaires.
Argo Blockchain (LSE:ARB)(NASDAQ:ARBK) hat 4,2 Millionen Pfund durch die Zeichnung von 76.900.000 Stammaktien zu je 5,5 Pence pro Aktie gesichert. Die Mittel werden strategische Initiativen unterstützen, einschließlich der möglichen Verlagerung oder Verkäufe von Mining-Ausrüstung der Helios-Anlage in Texas, der Aufrechterhaltung der Bitcoin-Mining-Aktivitäten in Quebec und der Erforschung der Diversifizierung in Hochleistungsrechnen (HPC). Die Zeichnung wird durch einen Cashbox-Mechanismus ausgeführt, wobei die Aktien gleichrangig mit den bestehenden Stammaktien sind. Nach der Zeichnung wird Argo 717.250.353 Stammaktien emittiert haben.
- Raised £4.2 million in new capital strengthening balance sheet
- Strategic flexibility to relocate or sell Texas mining equipment
- Potential business diversification into high-performance computing
- Share dilution through issuance of 76,900,000 new ordinary shares
- Requires prospectus publication for shares admission to trading
Insights
The
The cashbox structure through JerseyCo is a tax-efficient method for raising capital, though the lack of immediate listing admission for the new shares on LSE may temporarily impact liquidity. With 76.9 million new shares being issued, this represents approximately
The strategic pivot towards HPC and the Quebec operations could help reduce dependency on volatile crypto mining revenues, though execution risks remain significant given the company's market cap of just
£4.2 million Subscription by Institution
LONDON, UNITED KINGDOM / ACCESSWIRE / December 2, 2024 / Argo, a global leader in cryptocurrency mining (LSE:ARB)(NASDAQ:ARBK), is pleased to announce that it has raised gross proceeds of £4.2 million through a subscription for its ordinary shares ("Ordinary Shares") by an institution ("Subscription"), the Company will issue 76,900,000 Ordinary Shares ("SubscriptionShares") at a purchase price of 5.5 pence per Ordinary Share.
The net proceeds from the Subscription will support Argo's strategic plans and working capital needs. These funds will help drive the potential relocation or sale of mining equipment currently at the Helios facility in Texas, while allowing the company to maintain its Bitcoin ("BTC") mining operations in Quebec. Additionally, the funds will support previously announced efforts to explore diversification into high-performance computing ("HPC"). Information regarding the Company's financial position can be found in its Q3 results RNS of 20 November 2024 and its interim half-year results RNS of 28 August 2024.
Argo's Chief Executive Officer, Thomas Chippas, commented, "This subscription strengthens our balance sheet, moving Argo closer to execution of the HPC opportunity at Baie-Comeau and Helios fleet movement, as described in the Company's Q3 2024 Results Announcement released on 20 November 2024."
Subscription
The Subscription will be effected by way of a cashbox, involving the issue of new Ordinary Shares for non-cash consideration. The institution will subscribe for redeemable preference shares in Project Maple (Jersey) Limited, a new Jersey-incorporated subsidiary of the Company ("JerseyCo"), in an amount equal to the net proceeds of the Subscription.
The Company will allot and issue the Subscription Shares on a non-pre-emptive basis to the institution in consideration of the transfer by the institution of the redeemable preference shares in JerseyCo to the Company. Accordingly, at the conclusion of this cashbox process, JerseyCo will be a wholly owned subsidiary of the Company and its sole asset will be cash reserves approximately equal to the net proceeds of the Subscriptioin. The Company will then be able to access those funds by redeeming the redeemable preference shares it holds in JerseyCo. Further shareholder approval is not required to effect the Subscription by way of a cashbox.
Prospectus and Admission
The Subscription Shares to be issued pursuant to the Subscription will rank pari passu in all respects with the existing Ordinary Shares. However, Argo does not currently have sufficient headroom for the Subscription Shares to be admitted to the Official List maintained by the FCA and to trading on the London Stock Exchange PLC's Main Market without the publication of a prospectus. The Company has therefore agreed that it will use its reasonable endeavours to procure admission of the Subscription Shares as soon as possible following issue and allotment, as permitted and required by the UK Listing Rules.
The securities being offered have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and such securities may not be offered or sold within the United States absent registration under U.S. federal and state securities laws or an applicable exemption from such U.S. registration requirements.
This announcement shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.
Total Voting Rights
Following the Subscription, the Company will have a total of 717,250,353 Ordinary Shares in issue. No Ordinary Shares are held in treasury. The above figure may be used by the Company's shareholders as the denominator for the calculations by which they can determine whether they are required to notify their interest in, or a change of their interest in, the Company under the FCA's Disclosure Guidance and Transparency Rules.
This announcement contains inside information.
For further information please contact:
Argo Blockchain |
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Investor Relations | |
Tennyson Securities |
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Corporate Broker Peter Krens | +44 207 186 9030 |
Fortified Securities |
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Joint Broker Guy Wheatley, CFA | +44 7493 989014 |
Tancredi Intelligent Communication UK & Europe Media Relations |
About Argo:
Argo Blockchain plc is a dual-listed (LSE: ARB; NASDAQ: ARBK) blockchain technology company focused on large-scale cryptocurrency mining. With mining facilities in Quebec, mining operations in Texas, and offices in the US, Canada, and the UK, Argo's global, sustainable operations are predominantly powered by renewable energy. In 2021, Argo became the first climate positive cryptocurrency mining company, and a signatory to the Crypto Climate Accord. For more information, visit www.argoblockchain.com.
Forward looking statements
This announcement contains "forward-looking statements," which can be identified by words like "may," "will," "likely," "should," "expect," "anticipate," "future," "plan," "believe," "intend," "goal," "seek," "estimate," "project," "continue" and similar expressions. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on the Company's current beliefs, expectations and assumptions regarding the future of its business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of the Company's control. The information in this announcement about future plans and objectives of the Company, including the expectation to complete the Subscription and the expected expenditure of the net proceeds of the Subscription, are forward-looking statements. The Company's actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. Important factors that could cause the Company's actual results and financial condition to differ materially from those indicated in the forward-looking statements include, market and other conditions, the principal risks and uncertainties listed in the risk factors set forth in our Annual Report and Financial Statements and Form 20-F for the year ended 31 December 2023, and our Interim Report as of 30 September 2024.
This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.
SOURCE: Argo Blockchain PLC
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FAQ
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