Bitfarms stock jumps 16% as firm finalizes shift from bitcoin mining to AI infrastructure
Quick Take
- The company will move its parent entity to Delaware and seek a new Nasdaq and TSX ticker, aiming to access U.S. capital markets and index eligibility.
- Bitfarms is also retiring its Macquarie debt facility, leaving it with hundreds of millions in liquidity to fund ongoing AI data center development projects.
Bitfarms shares rebounded on Friday after the company said it plans to redomicile to the United States and rebrand as Keel Infrastructure, marking what executives described as the final step in its transition away from bitcoin mining toward AI and high-performance computing infrastructure.
Shares of Bitfarms (NASDAQ: BITF) rose roughly 17% to around $2 after falling to about $1.70 on Thursday amid a continuing crypto market selloff that wiped roughly $750 billion from the total market cap in just the past week alone.
The company said its board approved a plan to move the parent company from Canada to Delaware, subject to shareholder and exchange approvals. Bitfarms shareholders will vote on the arrangement at a meeting scheduled for March 20, with the transaction expected to close around April 1, according to a Friday release.
Under the arrangement, each Bitfarms share will be exchanged one-to-one in the new U.S. parent company, which is expected to trade on Nasdaq and the Toronto Stock Exchange under the ticker KEEL.
CEO Ben Gagnon said the move positions the company to better access U.S. capital markets while accelerating development of AI and HPC-focused data center infrastructure across North America.
“We are no longer a Bitcoin company,” Gagnon said in a statement, describing the firm as an infrastructure developer and operator serving future AI and compute demand.
The shift follows several moves over the past year aimed at repositioning the company. In January, Bitfarms agreed to sell its final Latin American operation in Paraguay for up to $30 million, leaving its energy portfolio fully concentrated in North America as it pivots toward AI-oriented data center projects.
Repaying debt
Bitfarms also said it has provided notice to fully repay amounts outstanding under its $300 million debt facility with Macquarie Group’s commodities and global markets business.
As of early February, about $100 million had been drawn under the facility. After accounting for $50 million in restricted cash tied to the financing, the company expects net liquidity to decline by roughly $50 million upon repayment.
Bitfarms reported about $698 million in net liquidity as of Feb. 5, comprised mostly of unrestricted cash and some bitcoin holdings, which management said leaves ample capital available for ongoing development at its multi-state projects.
Commenting on the move, Matthew Sigel, head of digital assets research at VanEck, called retiring the debt a “good decision,” arguing the company enters the current market downturn with one of its strongest balance sheets while its development plans remain intact.
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