March 4,
2026 - B. Riley Securities, Inc., a
leading full-service investment bank, announced
it served as exclusive financial advisor to Canaan Inc. (NASDAQ:
CAN) in its acquisition of certain mining assets from Cipher Digital
Inc. (NASDAQ: CIFR), formerly Cipher
Mining Technologies Inc.
The
transaction included the acquisition
of Cipher's 49% equity interest in Alborz LLC,
Bear LLC, and Chief Mountain LLC, collectively known
as the "ABC Projects," which currently operate a
total of 120 MW of power capacity and support ~4.4 EH/s of total
operating hashrate.
In
connection with the
transaction, Canaan also purchased an additional 6,840
Canaan Avalon A15Pro-AVG-221T mining rigs from Cipher. The mining rigs were
originally purchased from Canaan in July 2025 and energized at
Cipher's Black Pearl site, which is being converted into an AI-HPC data
center.
Total
consideration for the acquisition is approximately $39.75
million. The transaction was funded through the issuance of 806,439,900
Canaan Class A ordinary shares to Cipher, equivalent to 53,762,660 American
Depositary Shares, priced at $0.7394 per ADS and subject to a lock-up period of
six months.
Canaan
is a technology company focusing on ASIC high-performance computing
chip design, chip research and development, computing equipment production, and
software services.
This transaction
supports Canaan's recently announced energy strategy and transition
from an opportunistic, asset-light power approach to a systematic upstream
development model centered on direct U.S. power applications, with the goal of building
a robust project pipeline capable of securing substantial load by the
end of 2026, potentially at gigawatt scale. Canaan's strategy
integrates bitcoin mining with AI-HPC colocation to enhance return on invested
capital, deliver flexible, dispatchable grid load, and deepen long-term
relationships with power partners.
B.
Riley Securities' deal team was led by Joe Nardini and
included Alex Wolodzko and Henry Gullen.
Read
more about the transaction here.
About B. Riley
Securities
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