Bitfarms Acquires Stronghold, Boosts U.S. Energy Portfolio by 165 MW

Bitfarms, a prominent Bitcoin mining company, has successfully completed the acquisition of Stronghold Digital Mining. This strategic move grants Bitfarms access to a substantial 1.1-gigawatt energy pipeline distributed across three sites in Pennsylvania. The acquisition significantly bolsters Bitfarms’ presence in the PJM market, a critical energy region in the United States.

The transaction involved Stronghold shareholders receiving 2.52 Bitfarms shares for each Stronghold share they held. As a result, Stronghold has been delisted from the NASDAQ exchange and is now a wholly-owned subsidiary of Bitfarms. This acquisition enhances Bitfarms’ total energy portfolio to 623 megawatts under management, adding 165 MW of active power generation and 142 MW of immediately available import capacity.

The deal also rebalances Bitfarms’ energy mix, shifting its 2025 projections to 80% North American-based operations and 20% international. Bitfarms CEO Ben Gagnon emphasized the strategic importance of this acquisition, stating that it strengthens the company’s foothold in the U.S., particularly within the PJM energy grid. The integration of Stronghold’s infrastructure will support both Bitcoin mining and high-performance computing (HPC) for artificial intelligence (AI).

Gagnon highlighted that with Stronghold’s portfolio of power assets, combined with Bitfarms’ operational expertise and balance sheet strength, the company is well-positioned to create long-term value for its shareholders. This acquisition is part of Bitfarms’ broader strategy to execute its U.S. operations and develop an HPC/AI business geared for scale.

The acquisition comes at a time when Bitfarms is fending off an unsolicited $950 million takeover bid from Riot Platforms, which had attempted to acquire the company earlier this year. The deal was initially agreed upon in a stock-based transaction valued at approximately $125 million, including around $50 million in assumed debt.

This strategic move by Bitfarms underscores the company’s commitment to expanding its operations and securing a stronger position in the U.S. energy market. By integrating Stronghold’s infrastructure, Bitfarms aims to leverage its operational expertise and financial strength to drive long-term growth and value for its shareholders. The acquisition not only enhances Bitfarms’ energy portfolio but also positions the company to capitalize on the growing demand for high-performance computing and artificial intelligence.