Riot Reduces Bitfarms Stake Below 10% After Continued Share Sales
Riot Platforms (NASDAQ: RIOT) has continued to trim its ownership in Bitfarms, reducing its stake in the rival bitcoin miner to 9.8% as of July 16, according to the latest regulatory disclosures.
The move brings Riot’s holdings below the 10% threshold for the first time since launching its hostile takeover bid in 2024. Between July 3 and July 16, Riot sold approximately 13.5 million Bitfarms shares on the open market, generating $14.3 million in proceeds.
The divestment came during a period of moderate price recovery for Bitfarms, which had rebounded from a local low of $0.80 to above $1.
The recent batch of sales follows a series of liquidations that began in late May, when Riot started unwinding its nearly 20% stake in Bitfarms after last year’s tension between the two companies.
In total, Riot has now cut its position by about 40%. The average sale price of $0.96 per share is significantly lower than the price Riot paid to accumulate the stake during its attempted takeover, less than 50% of its estimated average acquisition cost in 2024.
Riot began acquiring Bitfarms shares last year as part of an unsolicited acquisition attempt, eventually building what was then the largest individual stake in the company. The bid was met with resistance from Bitfarms’ board, and the two parties later negotiated a settlement.
