On Thursday, CleanSpark (CLSK) entered an agreement to acquire GRIID Infrastructure (GRDI) in an all-stock deal worth $155 million. Analysts project a potential upside to $27 per share for CleanSpark.
CleanSpark will issue 5.2 million shares, about 2.5% of its total, and take on GRIID’s debt. They’ve also provided GRIID with a $5 million working capital loan and a $50.9 million bridge loan. This acquisition is strategic for CleanSpark, aiming to add over 400 MW of data center infrastructure in Tennessee by 2025. This aligns with their goal of achieving over 1 GW of total capacity by 2026.
The deal is expected to close in Q3 2024, pending GRIID shareholder approval. This acquisition could significantly boost CleanSpark’s development of cost-effective power infrastructure, marking a pivotal step in their expansion strategy.
