Marathon Digital To Buy Bitcoin Mining Sites From Generate Capital For About $179 Mln

(RTTNews) - Marathon Digital Holdings, Inc. (MARA), a digital asset technology company, supporting the Bitcoin ecosystem, Tuesday said it has entered into a definitive agreement to acquire two Bitcoin mining sites from units of Generate Capital for $178.6 million in cash or $458,000/megawatt.

Post-acquisition, Marathon expects to increase the size of its Bitcoin mining portfolio by 56%, to 910 megawatts from 584 megawatts of capacity.

Under the agreement, Marathon will own data centers in Granbury, Texas and Kearney, Nebraska to Marathon, the company said in a statement.

With this acquisition, the company expects to increase its Bitcoin mining pipeline and double its current operational hash rate to around 50 exahashes of total operating capacity over the upcoming 18-24 months. Also, it expects to cut current cost per coin of operations by approx. 30%.

The acquisition is expected to close in the first quarter of 2024.

In pre-market activity, the stock of Marathon is moving up 4.12%, to $20.70 on the Nasdaq.