Digihost Announces $10 Million Non-Brokered Private Placement
February 23 2021 - 6:30PM
Digihost Technology Inc. (“
Digihost” or the
“
Company”) (TSXV: DGHI; OTCQB: HSSHF) is pleased
to announce a non-brokered private placement financing of up to
$10,000,000 (the “
Offering”). The Offering will
consist of the sale of up to 2,857,142 units
(“
Units”) at a price of $3.50 per Unit.
Each Unit will be comprised of one (1) common
share of the Company (a “Share”), and one-half of
one (0.5) common share purchase warrant (each whole warrant, a
“Warrant”), with each Warrant entitling the holder
thereof to acquire one additional common share of the Company at a
price of $4.40 for a period of eighteen (18) months following the
closing of the Offering.
Proceeds of the Offering will be used by the
Company to acquire the latest generation miners, increase mining
capacity, reduce energy costs and for general working capital
purposes. Michel Amar, the Company’s CEO, stated: “We are very
excited to expand the financial resources of the Company through
the offering of this new capital raise. We intend to put the
proceeds of the financing towards the acquisition of additional
high-quality miners and we are motivated by the prospect of
increasing our hashrate to mine beyond the current approximate 1.2
Bitcoins per day. We also continue to evaluate every opportunity
for growth through capital investment with the objective of further
lowering our already low electricity costs.”
The Offering is subject to the receipt of all
required corporate and regulatory approvals including the approval
of the TSX Venture Exchange. The securities issued pursuant to the
Offering will be subject to a statutory hold period of four months
and one day in accordance with applicable securities laws.
This news release does not constitute an offer
of securities for sale in the United States. 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 U.S. registration or an applicable exemption from U.S.
registration requirements.
About Digihost Technology
Inc.
Digihost is a growth-oriented blockchain company
primarily focused on Bitcoin mining. The Company's mining facility
is located in Buffalo, N.Y., and is equipped with an 18.7MVA
115,000-kilovolt-ampere outdoor substation with an option to
increase the power output to 42MVA. The Company is currently
hashing approximately 1.2 Bitcoins per day, subject to difficulty.
Digihost’s strategy is to focus on continually increasing its
hashrate with a concurrent reduction in energy costs.
For further information, please contact:
Digihost Technology
Inc.www.digihost.ca Michel Amar, Chief Executive Officer
Email: michelamar@me.com
Cautionary StatementTrading in
the securities of the Company should be considered highly
speculative. No stock exchange, securities commission or other
regulatory authority has approved or disapproved the information
contained herein. Neither the TSX Venture Exchange nor its
Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this release.
Forward-Looking Statements This
news release includes forward-looking statements that are subject
to risks and uncertainties. Forward-looking statements involve
known and unknown risks, uncertainties, and other factors that
could cause the actual results of Digihost and its investee
companies to be materially different from the historical results or
from any future results expressed or implied by such
forward-looking statements. All statements contained in this news
release, other than statements of historical fact, are to be
considered forward-looking. Although Digihost believes the
expectations expressed in such forward-looking statements are based
on reasonable assumptions, such statements are not guarantees of
future performance and actual results or developments may differ
materially from those in the forward-looking statements.
Accordingly, readers should not place undue reliance on
forward-looking information. Digihost does not undertake to update
any forward-looking information except in accordance with
applicable securities laws.
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