HUT - Hut 8 receives court approval in its stalking horse bid for four natural gas power plants including the North Bay Bitcoin mine | Benzinga
MIAMI, Jan. 08, 2024 (GLOBE NEWSWIRE) -- Hut 8 Corp. ((Nasdaq, TSX:HUT), ("Hut 8" or the "Company") one of North America's largest, most innovative digital asset mining pioneers and high performance computing infrastructure providers announces that it has received an approval and vesting order (the "Approval and Vesting Order") from the Ontario Superior Court of Justice (Commercial List) in the context of the ongoing proceedings pursuant to the Companies' Creditors Arrangement Act of Validus Power Corp. ("VPC") and certain of its subsidiaries (collectively, the "Validus Entities").
Among other things, the Approval and Vesting Order approves the Company's previously announced stalking horse bid transaction (the "Transaction") to acquire four natural gas power plants including the North Bay Bitcoin mine, which was submitted in partnership with Macquarie Equipment Finance Ltd. ("Macquarie"), a subsidiary of Macquarie Group Limited, a global financial services group.
In connection with the approval of the Transaction, a new Ontario subsidiary of Hut 8 ("BidCo") will become the owner of certain assets of VPC and the assets and operations and equity interests of certain Validus Entities. Specifically, upon completion of the Transaction, BidCo will acquire, free and clear of any encumbrances (excluding certain permitted encumbrances), four natural gas power plants located in Ontario:
- 40 MW facility in Kapuskasing
- 110 MW facility in Kingston
- 120 MW facility in Iroquois Falls
- 40 MW facility and Bitcoin mine in North Bay
Completion of the Transaction would also include a new secured funding arrangement between Macquarie and BidCo in the form of an operating lease facility, and Macquarie receiving a minority equity interest in BidCo of approximately 20% while a subsidiary of Hut 8 will be the majority owner of the remaining approximately 80%. Completion of the Transaction remains subject to the satisfaction of other standard conditions to closing. The completion of the Transaction, which is anticipated to ...