Bitcoin miner PrimeBlock plans to go public via $1.25 billion SPAC deal

Crypto miner PrimeBlock announced its intention to be listed on the Nasdaq stock exchange by merging with 10X Capital Venture Acquisition Corp. II, a special purpose acquisition company (SPAC) and a subsidiary of 10X Capital.

The combined company will be valued at an estimated $1.25 billion and the goal is for the merger be completed by the second half of 2022, according to the announcement.

As the company plans to go public via the use of a SPAC, the Securities and Exchange Commission is considering new rules for these companies that would heighten disclosure standards, making the process more similar to a traditional initial public offering (IPO).

Companies that have chosen this route include Circle, Coincheck, Apifiny and Bitdeer

10X Capital and PrimeBlock also said they have secured a $300 million committed equity financing facility from CF Principal Investments LLC.

In the fourth quarter of 2021, PrimeBlock brought in $24.4 million in revenue, the company said. It currently owns over 110 megawatts of mining capacity across 12 sites, which it uses for both self-mining and hosting.

The CEO of the combined company will be Gaurav Budhrani, a former Goldman Sachs vice president.

“We believe the transaction will provide tremendous momentum for our next phase of growth. In addition, our partnerships with key suppliers are expected to enhance our ability to rapidly scale the business,” Budhrani said.