The BTC miner and infrastructure startup PrimeBlock aims to go public by listing on Nasdaq via a merger with 10X Capital Venture Acquisition Corp. II (VCXA), a special purpose acquisition company (SPAC) in a $1.25B deal.
According to the press release, PrimeBlock also secured a $300 million committed equity financing facility from CF Principal Investments LLC, an affiliate of Cantor Fitzgerald.
The merger is supposed to advance PrimeBlock’s focus on the blockchain ecosystem. The CEO of the new entity will be former Goldman Sachs investment banking veteran Gaurav Budhrani.
Budhrani stated “We are excited to bring PrimeBlock public with the support of our investors and the experienced team from 10X Capital. We believe we are well-positioned to leverage our infrastructure and technology to provide PrimeBlock’s customers access to the underlying economics of public blockchains.”
PrimeBlock made $24.4 million in revenue in the fourth quarter of 2021. It presently has approximately 110 megawatts of mining capacity spread across 12 sites, which it uses for self-mining as well as hosting.
The merger between PrimeBlock and 10X Capital Venture is expected to be completed by the second half of 2022.
PrimeBlock now gets about 60% of its power from non-carbon emitting sources and expects to offset the rest. It aims to adopt additional sustainability-focused solutions for customers, communities, and in its business processes as a responsible business partner and an innovative operator.
The firm’s plans to join Nasdaq through a SPAC merger come as the US SEC announces new guidelines for such deals. Organizations are obliged to give further information about their sponsors, conflicts of interest, and other issues by the SEC.
Recently the Japanese crypto marketplace and exchange Coincheck entered a $1.25B merger with Thunder Bridge Capital Partners IV, a SPAC in order to go public. The entity will be listed on the Nasdaq Global Select Market under the ticker symbol CNCK.
