Shareholders Vote Scheduled for GRIID’s SPAC Merger Deal

U.S. bitcoin mining company GRIID is moving forward with its merger deal to go public amid bitcoin’s recent market rally after multiple delays over the past two years.

GRIID initially filed for its public debut through a $3.3 billion merger with a special purpose acquisition company (SPAC) called Adit EdTech in November 2021. As the bear market persisted, the transaction deadline had been postponed several times.

On Tuesday, the SPAC submitted an amended S-4 form along with a preliminary proxy statement, scheduling a special shareholder meeting on November 30 to vote on the proposed business combination with GRIID and other related matters.

If approved, GRIID will become the latest addition to the more than 20 publicly listed mining operations in the U.S., granting access to the public market for potential equity and debt financing resources.

Headquartered in Ohio, GRIID operates four facilities in New York and Tennessee with a total capacity of 68 megawatts. According to the S-4 filing, 48 MW of the capacity is dedicated to proprietary mining, while the rest is reserved for hosting clients under a profit-sharing model.

It appears that GRIID does not exclusively use the most efficient self-mining fleet. The company said it operates a mix of mining equipment, including Antminer S9, S17, S19, and Whatsminer M31S+.

During Q2’23, the company mined 83 bitcoins with an average hashrate of 337 PH/s. As of June 30, it had installed over 20,623 miners with a total produced hashrate of 447 PH/s. This translates to an average of 21 TH/s per miner, suggesting that GRIID’s fleet includes a significant number of legacy S9 models.

As of June 30, GRIID reported approximately 13,333 purchased miners outstanding (equivalent to about 1.8 EH/s). These are likely from its pre-order of Intel’s BZM2 ASICs. However, it remains unclear when these ASICs will become operational miners, as Intel announced the suspension of its bitcoin ASICs earlier this year.

GRIID has also been involved in civil lawsuits in Washington County at Jonesborough, Tennessee, primarily due to alleged violations of zoning rules and noise complaints.