Tether acquires $100 million stake in US-Listed bitcoin miner Bitdeer
Stablecoin issuer Tether Holdings Ltd. has acquired a $100 million stake in Bitdeer Technologies Group, the US-listed Bitcoin miner owned by Chinese billionaire Jihan Wu, with an option to purchase an additional $50 million in shares within a year.
The two firms entered into a subscription agreement for a private placement of 18.6 million Class A ordinary shares, Bitdeer said in a statement on Friday, which generated $100 million in gross proceeds. There was also a warrant to purchase up to five million in additional shares at $10 per share. The private placement closed on Thursday. Cantor Fitzgerald & Co. acted as the placement agent.
The deal will fund an expansion of Bitdeer’s data center operations, development of ASIC-based crypto mining equipment and other general corporate purposes, Bitdeer said. The companies didn’t disclose what percentage of Bitdeer is now held by Tether under the agreement. Tether didn’t immediately respond to a request for comment.
The agreement marks a major step forward for Tether in its plan to become a major Bitcoin miner, having begun construction of its own mining facilities in Uruguay, Paraguay and El Salvador last year. The British Virgin Islands-incorporated company, which issues the
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