Mawson Executed Sell Agreement Greenfield Texas Sites For $8.5 Million
- Mawson Infrastructure has agreed to sell its Texas sites to a Singapore entity for $8.5 million in cash and stablecoins.
- The M Turing VCC Oracle Phase 1 Fund of Mainnet Capital will acquire Luna Squares Texas LLC, which controls the contracts and leases for the Midland, Texas, locations.
- The company is slimming down its activities in order to concentrate on Pennsylvania.
Mawson Infrastructure Group, a supplier of digital infrastructure, said today that it has signed and executed a binding sale agreement for its greenfield properties in Midland, TX, which will take effect on April 18, 2023.
Mawson said in a news statement on Wednesday that the transaction price was $8.5 million in cash and stablecoins. The deal included the sale of 100% of its subsidiary Luna Squares Texas LLC, which owned the applicable lease agreements and contracts.
In addition, Mawson sold 59 transformers for these Texas locations. The buyer is the M Turing VCC Oracle Phase 1 Fund, which is managed by Mainnet Capital, a Singapore-based fund manager.
The miner is consolidating its activities in order to concentrate on Pennsylvania. It sold its Georgia operation to CleanSpark, another Bitcoin miner, in September.
The sale of the Texas sites enables the company to concentrate all of its efforts on its existing 240 MW of facilities in Pennsylvania. The revenues of the sale will be used to reduce debt and support future expansions at its other facilities, including the purchase of more ASIC miners.
CEO James Manning stated:
“The proceeds of the sale will be used to ensure Mawson continues to reduce debt and start to expand our operations in 2023. We look forward to seeing our increased mining and power capacity online in Q2, 2023.”
Luna Squares LLC, a different subsidiary, hosted around 10,000 workstations for insolvent crypto lender Celsius Network as of the end of December. Celsius lent Mawson $20 million in February 2022, and the two companies discussed another $20 million loan in June.
By the end of the second quarter, the company hopes to have the infrastructure to accommodate 4.2 exahash/second (EH/s) of mining computer power. This capacity increase has the potential to produce up to 11.025 BTC per day, or $120 million in income per year, which would be divided between Mawson and its hosting clients.
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