CleanSpark has announced plans to purchase seven Bitcoin mining facilities located near Knoxville, Tennessee, for $27.5 million.
According to a news statement, the company anticipates closing the deals by September 25, and the purchase will increase available capacity by over 85 megawatts.
CleanSpark’s hash rate will grow by five exahashes per second, or 22% more than its existing capacity. By the end of 2024, the corporation hopes to have achieved 37 EH/s, having recently surpassed 23 EH/s.Â
Despite concerns about national security being raised earlier in the year, CleanSpark purchased a Bitcoin mining site in Wyoming in August.
The transaction went ahead despite President Biden’s emergency order to cease operations at locations close to critical military installations because of possible espionage threats.
H.C. Wainwright analysts consider CleanSpark’s acquisition of the seven Bitcoin mining operations in Tennessee as a smart strategic choice demonstrating the company’s capacity to obtain premium infrastructure at a reasonable price.
CleanSpark may now concentrate on integrating the newest S21 pro miners to increase output thanks to this acquisition. The business also intends to grow operations in Tennessee by taking a community-focused strategy.
According to the company’s BTC Miner M&A Deal Tracker, Wainwright analysts observed that CleanSpark has obtained the lowest price per developed MW for any mining deal in 2024, at roughly $323,500 per megawatt.
CEO Zach Bradford emphasized that Tennessee has a more favorable energy and political climate than Georgia, where CleanSpark has 500 MW of plants. Zach Bradford, CleanSpark CEO:
Tennessee has a similar political and energy environment to Georgia, where we’ve deployed nearly $1B of capital and operate nearly 500 MW… applying the same winning community-oriented strategy to The Volunteer State is our plan as we expand our presence in the region and continue showcasing how Bitcoin can benefit the local power grid and communities where we’re located.”
The current price of CleanSpark’s shares is $9.30, but analysts see this news as a chance to purchase and have maintained their “Buy” rating on the company, with a $27 price objective.
