Company Cleared Crypto DeFi Focused Affiliate BitNile To Drive Expansion And Progress In Bitcoin Mining And Data Center Operations
Ault Global Holdings, Inc. (NYSE American: DPW) a diversified holding company (the “Society“), announced today that its wholly owned subsidiary, Ault Alliance, Inc. (“Ault Alliance“), entered into a purchase agreement with Bitmain Technologies Limited (“Bitmain“) for the purchase of 3000 Antminers Model S19j Pro (the”Antminers”) For a total purchase price of $ 21 million and additional transaction costs of approximately $ 2 million on top of the 1,000 Antminers the company took delivery of earlier this week. The new Antminers will be deployed at the company’s Michigan data center (the “Data center“). Deployment of the 3,000 Antminers is expected to occur monthly, generally coinciding with the delivery schedule of 300 units per month, between October 2021 and July 2022.
Alliance Cloud Services, LLC, a majority owned subsidiary of Ault Alliance, acquired the Data Center, a 617,000 square foot energy efficient facility located on a 34.5 acre site, in January 2021. In June 2021, the Company announced its intention to expand its Data Center infrastructure and increase power capacity to 28MWs. With the execution of this purchase agreement with Bitmain and the delivery of the 1,000 Antminers, the company is well positioned to increase the scale and reach of its cryptocurrency and data center operations and is now going to expand. ‘forward with the upgrades necessary to achieve maximum capacity at the data center. The upgrades are expected to take around 18 months and are expected to result in 300 MW of critical power under an energy reduction agreement with a fixed price at relatively low energy tariffs for the next five years.
Based on current market conditions related to bitcoin mining and assuming the installation of 4,000 Antminers which is expected to be completed in July 2022, the company expects gross revenues from its cryptocurrency mining operations will reach an annual rate of between 45 and 50 dollars. million. In August 2021, the Company formed a new wholly owned subsidiary, BitNile, Inc. (“BitNile“), which will hold the Company’s investment in the data center and Antminers. Although the Company believes that the future operations of the data center and its cryptocurrency mining operations will be successful, the Company does not can’t assure you that his expectations will materialize in a timely manner, if at all.
Milton “Todd” Ault, III, executive chairman of the company, said: “I am delighted with the progress made so far and have confidence, particularly after purchasing an additional 3,000 Antminers, that BitNile’s operations will help further. significantly to the growth of the company in both revenue and profitability. Ault continued, “We believe that the long-term success and scalability of BitNile will depend in part on access to the private or public equity markets to fund additional investments in Antminers and the expansion of the hub. data.
For more information about Ault Global Holdings and its subsidiaries, the Company recommends that shareholders, investors and other interested parties read the Company’s public documents and press releases available in the Investor Relations section at www.AultGlobal.com or available on www.sec.gov.
About Ault Global Holdings, Inc.
Ault Global Holdings, Inc. is a diversified holding company that continues to grow by acquiring undervalued businesses and disruptive technologies with a global impact. Through its wholly and majority owned subsidiaries and strategic investments, the Company provides mission critical products that support a wide range of industries including defense / aerospace, industrial, automotive, telecommunications , medical / biopharmacy and textiles. In addition, the Company grants credit to certain entrepreneurial businesses through an approved lending subsidiary. The head office of Ault Global Holding is located at 11411 Southern Highlands Parkway, Suite 240, Las Vegas, NV 89141; www.AultGlobal.com.
This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements generally include statements that are predictive in nature and depend on or refer to future events or conditions, and include words such as “belief”, “plans”, “anticipates”, “plans”, “estimates” , “” Expects “,” intends “,” strategy “,” future “,” opportunity “,” may “,” will “,” should “,” could “,” potential “or similar expressions. Statements that are not historical facts are forward-looking statements. Forward-looking statements are based on current beliefs and assumptions which are subject to risks and uncertainties. Forward-looking statements speak only as of the date on which they are made, and the Company does not undertake to update them publicly in light of new information or future events. Actual results could differ materially from those contained in any forward-looking statement due to various factors. Further information, including potential risk factors, that could affect the business and financial results of the Company is included in the documents filed by the Company with the United States Securities and Exchange Commission, including, but not limited to without limitation, the Company’s 10-K, 10-Q and 8 forms. -K. All files are available on www.sec.gov and on the Company’s website at www.AultGlobal.com.