Ontario Capital Markets Tribunal Dismisses Bitfarms’ Poison Pill at Riot’s Request

Riot Platforms, Inc. (NASDAQ: RIOT) announced a significant victory when the Ontario Capital Markets Tribunal agreed to terminate the shareholder rights plan (commonly known as the “poison pill”) implemented by the board of directors of Bitfarms Ltd. (NASDAQ/TSX: BITF) on June 10, 2024. The tribunal’s decision effectively nullifies the poison pill, which was intended to protect Bitfarms from potential takeover attempts by limiting shareholders from acquiring more than a 15% stake in the company.

Details of the court’s decision

The Ontario Capital Markets Tribunal’s ruling marks a significant moment in Riot’s ongoing efforts to challenge Bitfarms’ corporate governance. Riot CEO Jason Less praised the tribunal’s swift and decisive action, saying, “This ruling by the tribunal in favor of Riot’s application is a victory for all Bitfarms shareholders. The adoption of the OTC poison pill is yet another example of the breakdown in corporate governance that plagues Bitfarms and the ongoing attempts by Bitfarms directors to entrench themselves.”

What it means for Bitfarms shareholders

Les also stressed the importance of electing Riot’s three director candidates (John Delaney, Amy Freedman, and Ralph Goehring) at the special shareholders meeting scheduled for October 29, 2024. According to Les, these candidates are independent from Riot and Bitfarms and have the qualifications necessary to bring a fresh perspective to Bitfarms and improve corporate governance.

Introducing the Riot Platform

Riot Platforms, a Nevada-based Bitcoin mining and digital infrastructure company, aims to be the world’s leading Bitcoin-based infrastructure platform. The company operates a Bitcoin mining facility in Central Texas and an electrical switchgear engineering and fabrication operation 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 relating to Bitfarms’ future performance and governance. These statements are subject to risks and uncertainties that could cause actual results to differ materially from those anticipated. More information about these risks can be found in Riot’s filings with the Securities and Exchange Commission (SEC) and other regulatory agencies.

For more information, see the source version on Riot Platforms.

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