|

Bitfarms to Exit Latin America Selling 70 MW Paraguay Mining Site for Up to $30M

📉

Bitfarms Ltd. mentioned on Friday it has agreed to promote its 70-megawatt Paso Pe bitcoin mining website in Paraguay for up to $30 million marking its exit from Latin America.

The firm said it has entered right into a definitive share buy settlement with Sympatheia Power Fund which is managed by Singapore-based Hawksburn Capital.

The transaction is predicted to shut inside 60 days topic to customary closing situations.

Refocus on North American HPC and AI Infrastructure

Bitfarms CEO Ben Gagnon mentioned the sale represents a decisive rebalancing of the corporate’s power portfolio towards North America permitting capital to be redeployed into higher-return alternatives.

“This transaction brings ahead an estimated two to three years of anticipated free money flows from operations to be reinvested into our North American HPC and AI power infrastructure in 2026,” Gagnon mentioned in a press launch.

He provides that the sale of the Paso Pe website marks the fruits of a broader effort to exit Latin America and refocus the corporate’s administration capital and operational priorities on North American energy and infrastructure.

Bitfarms Ditches BTC for AI After Shocking $46M Loss

Bitfarms mentioned it has more and more positioned itself as an power and digital infrastructure firm increasing past bitcoin mining into high-performance computing and artificial intelligence workloads which it believes provide extra long-term returns on invested capital.

In November the corporate mentioned it is going to wind down its Bitcoin operations over 2026 and 2027 after posting a steep $46 million loss within the third quarter almost double its $24 million loss throughout the identical interval final yr.

Deal Structure and Payment Timeline

Under the phrases of the settlement, the client will purchase the shares of a single-purpose subsidiary that holds all working property associated to the Paso Pe undertaking. The proposed transaction values the location at up to $30 million.

Bitfarms expects to obtain $9 million in money at closing which is anticipated within the first quarter of 2026. This quantity features a $1 million non-refundable deposit that has already been paid by the client.

The firm might obtain up to an extra $21 million over the ten months following closing, contingent on the achievement of sure fee milestones.

The construction of the transaction is predicted to enhance Bitfarms’ liquidity profile by accelerating the monetization of the asset whereas offering short-term financing supported by the operation.

Buyer Targets Operational Continuity

A consultant for Sympatheia Power Fund mentioned the acquisition helps the fund’s regional enlargement technique in crypto infrastructure and emphasised the significance of a clean transition.

“Our precedence is an uninterrupted, seamless transition from day one sustaining continuity at Paso Pe as we transfer into the following section of progress,” mentioned SPF consultant Josh Murchie.

Updated Energy Portfolio Post-Sale

Following completion of the transaction, Bitfarms’ power portfolio can be solely North America–primarily based. The firm mentioned it is going to function 341 megawatts of energized capability with an extra 430 megawatts below energetic growth within the (*70*) States.

Its whole multi-year pipeline stands at 2.1 gigawatts with roughly 90% situated within the U.S.

The submit Bitfarms to Exit Latin America Selling 70 MW Paraguay Mining Site for Up to $30M appeared first on Cryptonews.

Similar Posts