What's Going On With Bitcoin Mining Stock Riot Platforms Monday?

Riot Platforms Inc RIOT on Monday announced that it entered into a settlement agreement with Bitfarms Ltd BITF related to its ongoing takeover attempt of the company.

What Happened: Riot and Bitfarms reached an agreement ahead of the upcoming special meeting of Bitfarms shareholders. Under terms of the agreement, Andrés Finkielsztain has stepped down from Bitfarms’ board. The company said it appointed Amy Freedman to its board, as well as its governance and nominating committee and compensation committee.

Riot Platforms has agreed to withdraw its requisition and accept customary standstill provisions through the Bitfarms 2026 annual meeting. At the meeting, shareholders will be asked to vote to approve an expansion of the company’s board from five to six members, elect an independent director and ratify the company’s shareholder rights plan. Riot has said it will vote in favor of these proposals.

“The Bitfarms Board is committed to effectively overseeing the execution of the Company’s strategic plan as we work to position Bitfarms to capitalize on the opportunities ahead,” said Brian Howlett, independent chairman of Bitfarms’ board.

“Additionally, we recognize the importance of refreshment and having the right mix of skills, experience and diversity, and we are always open to adding qualified candidates with valuable insights and perspectives to strengthen our Board. We are pleased to reach this agreement with Riot, which we believe is in the best interests of all Bitfarms shareholders.”

Bitfarms also gave Riot Platforms certain rights to purchase shares of the company provided Riot holds 15% or more of the outstanding common shares of the company. The Bitcoin BTC/USD miner noted that its upcoming special meeting of shareholders will take place no later than Nov. 20.

“This agreement represents a significant step to advance shareholder value creation at our respective companies and we are pleased to have reached this constructive resolution with Bitfarms,” said Jason Les, CEO of Riot.

See Also: Massive Crypto Heist: Here’s How Two Suspects Were Nabbed In $230M Theft

RIOT Price Action: Riot Platforms shares were up 0.14% at $7.23 at the time of publication Monday, according to Benzinga Pro.

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