AKRON,
Ohio, Dec. 29, 2023 /PRNewswire/ -- BIT Mining
Limited (NYSE: BTCM) ("BIT Mining," "the Company," "we," "us," or
"our company"), a leading technology-driven cryptocurrency mining
company, today announced that it has agreed to sell its entire
mining pool business operated under BTC.com (the "Business") to
Esport – Win Limited, a Hong Kong
limited liability company, for a total consideration of
US$5 million. The sale of the
Business is expected to result in an increase of approximately
US$16 million in the total
shareholders' equity of BIT Mining, since the Business has
approximately US$11 million in
cryptocurrency net liability. The sale does not include or affect
any of BIT Mining's other businesses.
The sale of the Business is subject to certain closing
conditions and applicable regulatory approvals and is expected to close upon
satisfaction of the closing conditions.
The Business generated revenues of US$593.2 million, or 91.2% of BIT Mining's total
revenues, in the year ended December 31,
2022. However, in accordance with the Company's business
model, a considerable amount of mining rewards is payable to each
pool participant in exchange for the computing power they
contribute to the mining pool. As disclosed in the Company's annual
report on Form 20-F for the fiscal year ended December 31, 2022, the cost and expense of mining
pool services for the full year 2022 was US$595.8 million. Consequently, the Business
recorded a full-year net operating loss of US$2.6 million. The Company expects the sale to
result in improved profitability and a solid cash position.
Xianfeng Yang, Chief Executive
Officer of BIT Mining, commented, "By selling the loss-making
mining pool business, we will be more resilient with our core
resources focused on advancing the research and development of our
existing businesses. Meanwhile, the cash proceeds from the
transaction and our company's enhanced profitability outlook will
further strengthen our position to explore new areas with greater
potential and room for future expansion. Moving forward, we will strive to unlock
considerable synergistic potential across our existing business
segments, propelling our company's technology-driven growth and
creating long-term value for our shareholders."
About BIT Mining Limited
BIT Mining (NYSE: BTCM) is a leading technology-driven
cryptocurrency mining company with operations in cryptocurrency
mining, data center operation and mining machine manufacturing. The
Company is strategically creating long-term value across the
industry with its cryptocurrency ecosystem. Anchored by its
cost-efficient data centers that strengthen its profitability with
steady cash flow, the Company also conducts self-mining operations
that enhance its marketplace resilience by leveraging
self-developed and purchased mining machines to seamlessly adapt to
dynamic cryptocurrency pricing. The Company also owns 7-nanometer
BTC chips and has strong capabilities in the development of
LTC/DOGE miners and ETC miners.
Forward-Looking Statements
This news release contains forward-looking statements within the
meaning of Section 21E of the Securities Exchange Act of 1934, as
amended, and as defined in the U.S. Private Securities Litigation
Reform Act of 1995. These forward-looking statements can be
identified by terminology such as "will," "expects," "anticipates,"
"future," "intends," "plans," "believes," "estimates," "target,"
"going forward," "outlook" and similar statements. Such statements
are based upon management's current expectations and current market
and operating conditions and relate to events that involve known or
unknown risks, uncertainties and other factors, all of which are
difficult to predict and many of which are beyond the Company's
control, which may cause the Company's actual results, performance
or achievements to differ materially from those in the
forward-looking statements. Important factors that could cause BIT
Mining's actual results to differ materially from those indicated
in the forward-looking statements. Further information regarding
these and other risks, uncertainties or factors is included in the
Company's filings with the U.S. Securities and Exchange Commission.
The Company does not undertake any obligation to update any
forward-looking statement as a result of new information, future
events or otherwise, except as required under law.
For more information:
BIT Mining Limited
ir@btcm.group
ir.btcm.group
www.btcm.group
Piacente Financial Communications
Brandi Piacente
Tel: +1 (212) 481-2050
Email: BITMining@thepiacentegroup.com
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SOURCE BIT Mining Limited