Press release
30 July 2024
Argo Blockchain
plc
('Argo'
or 'the Company')
£6.5 Million Private
Placement With Institutional Investor
Argo Blockchain plc, (LSE: ARB;
NASDAQ: ARBK), is pleased to announce that it has entered into a
securities purchase agreement for a private placement of its
ordinary shares ("Ordinary Shares") and accompanying warrants to
purchase Ordinary Shares to an institutional investor for gross
proceeds of approximately GBP £6.5 million (the "Private
Placement"). Pursuant to the Private Placement, the Company will
issue 57,800,000 Ordinary Shares (the "Placement Shares") at a
purchase price of GBP £0.1125 per Ordinary Share along with
warrants to purchase up to 57,800,000 Ordinary Shares (the
"Warrants"). The Warrants have an exercise price of GBP
£0.1125 per share and an exercise period of five years.
The issuance price is at a premium
to the 30 day VWAP, 60 day VWAP and 90 day VWAP and at a 10%
discount to the closing middle market price of an Ordinary Share on
the London Stock Exchange on 29 July 2024.
H.C. Wainwright & Co. is acting
as the exclusive placement agent for the Private
Placement.
The net proceeds of the Private
Placement will be used by the Company for working capital and
general corporate purposes, including the repayment of
indebtedness.
Application will be made for the
Placement Shares and the shares issuable upon exercise of the
Warrants (the "Warrant Shares"), if exercised, to be admitted to
the Official List and to trading on the Main Market of the London
Stock Exchange. Admission of the Placement Shares and the closing
of the Private Placement are expected to occur on or about 31 July
2024 ("Admission"). The Placement Shares and Warrant Shares, if
any, will rank pari passu with the existing Ordinary Shares of the
Company.
Following Admission, the total
number of Ordinary Shares in issue will be 636,352,148, and the
total number of voting rights will therefore be 636,352,148. This
figure may be used by shareholders as the denominator for the
calculations by which they will determine if they are required to
notify their interest in, or a change to their interest in, the
share capital of the Company under the FCA's Disclosure Guidance
and Transparency Rules.
The securities being offered have
not been, nor will they be, registered under the United States
Securities Act of 1933, as amended, and such securities may not be
offered or sold within the United States absent registration under
U.S. federal and state securities laws or an applicable exemption
from such U.S. registration requirements.
This announcement shall not
constitute an offer to sell or the solicitation of an offer to buy
nor shall there be any sale of the securities in any jurisdiction
in which such offer, solicitation or sale would be unlawful prior
to registration or qualification under the securities laws of any
such jurisdiction.
Forward looking statements
This announcement contains
"forward-looking statements," which can be identified by words like
"may," "will," "likely," "should," "expect," "anticipate,"
"future," "plan," "believe," "intend," "goal," "seek," "estimate,"
"project," "continue" and similar expressions. Forward-looking
statements are neither historical facts nor assurances of future
performance. Instead, they are based only on the Company's current
beliefs, expectations and assumptions regarding the future of its
business, future plans and strategies, projections, anticipated
events and trends, the economy and other future conditions. Because
forward-looking statements relate to the future, they are subject
to inherent uncertainties, risks and changes in circumstances that
are difficult to predict and many of which are outside of the
Company's control. The information in this announcement about
future plans and objectives of the Company, including the
expectation to complete the Private Placement and the expected
expenditure of the net proceeds of the Private Placement, are
forward-looking statements. The Company's actual results and
financial condition may differ materially from those indicated in
the forward-looking statements. Therefore, you should not rely on
any of these forward-looking statements. Important factors that
could cause the Company's actual results and financial condition to
differ materially from those indicated in the forward-looking
statements include, market and other conditions, the principal
risks and uncertainties listed in the risk factors set forth in our
Annual Report and Financial Statements and Form 20-F for the year
ended December 31, 2023, and our Interim Report as of March 31,
2024.
For further information please
contact:
About Argo:
Argo Blockchain plc is a
dual-listed (LSE: ARB; NASDAQ: ARBK) blockchain technology company
focused on large-scale cryptocurrency mining. With mining
operations in Quebec and Texas, and offices in the
US, Canada, and the UK, Argo's global, sustainable
operations are predominantly powered by renewable energy. In 2021,
Argo became the first climate positive cryptocurrency mining
company, and a signatory to the Crypto Climate Accord. For more
information, visit www.argoblockchain.com.
