Stronghold Mining, a bitcoin mining firm based in the U.S. state of Pennsylvania, is seeking to raise $100 million in an initial public offering, according to regulatory documents made public on Tuesday.
The planned IPO follows a $105 million funding round that drew from a range of family offices, as The Block previously reported. The firm's CEO and co-chairman, Greg Beard, previously worked for the billion-dollar alternative investment management firm Apollo Global Management as its global head of natural resources.
Stronghold's operation employs waste coal, an environmentally toxic byproduct of coal mining. The Scrubgrass Generating Plant eliminates the vast majority of the toxins in the waste coal, producing fly ash that can later be used as a fertilizer.
"We are committed to generating our energy and managing our assets sustainably, and we believe that we are one of the first vertically integrated crypto asset mining companies with a focus on environmentally-beneficial operations. Simply put, we employ 21st century crypto mining techniques to remediate the impacts of 19th and 20th century coal mining in some of the most environmentally neglected regions of the United States," the firm said in its prospectus.
According to the draft prospectus, Stronghold operates 1,800 mining units, sporting a total hash rate of 85 PH/s. The firm plans to reach 3,000 PH/s by December and "over 5,300 PH/s by December 2022."
Per the filing, Stronghold is moving to expand the scope of its operations with additional generation facilities that process waste coal.
"We intend to house our miners at the Scrubgrass Plant, the Panther Creek Energy Facility (the “Panther Creek Plant”), a coal refuse power generation facility that we have under contract to purchase (subject to customary closing conditions and regulatory approvals), and an additional coal refuse power generation facility (the “Third Plant”) that we have under a letter of intent to purchase," the firm said.