Greenidge Generation Secures $6 Million Investment for Strategic Expansion

In a significant move towards solidifying its growth trajectory, Greenidge Generation Holdings Inc. (NASDAQ:GREE), a leading cryptocurrency datacenter and power generation company headquartered in Dresden, N.Y., has officially announced a strategic investment agreement with Armistice Capital. The investment, totaling $6 million, is poised to fuel the company's ambitious expansion plans and further enhance its position in the dynamic market.

Powering Growth through Strategic Investment

Greenidge's forward-looking strategy involves diversifying into new, cost-effective power centers, amplifying its bitcoin mining capabilities, advancing its engineering, procurement, and construction management (EPCM) business, and supporting the establishment of cutting-edge AI infrastructure and data centers.

CEO Jordan Kovler Emphasizes Growth

Expressing confidence in Greenidge's transformation and growth initiatives, CEO Jordan Kovler highlighted the significance of the capital infusion from Armistice Capital. This strategic investment aligns with the company's vision for sustained progress in the rapidly evolving cryptocurrency and power generation sectors.

Investment Structure and Terms

As per the agreement, Armistice Capital is set to make an initial investment of $6 million, acquiring 1,260,505 shares and pre-funded warrants. Each share is valued at $4.76. In addition to this, Armistice will receive warrants enabling the purchase of an additional 1,260,505 shares at an aggregate price of $6.62 million, equating to $5.25 per share.

Bolstering Success Post Profitable Quarter

This strategic investment follows closely on the heels of Greenidge's announcement of a profitable quarter, marking a significant milestone after two years. Preliminary financial and operating results for the fourth quarter of 2023 indicate a Net Income range of $1.4 million to $2.4 million, Adjusted EBITDA between $1.6 million and $2.6 million, and Earnings Per Share ranging from $0.18 to $0.32.

Financial Resilience and Debt Reduction

In 2023, Greenidge exhibited financial resilience by reducing its debt by a substantial $85.3 million, representing over 54% of its total debt. This strategic move positions the company as a formidable player in the cryptocurrency and power generation landscape.

Greenidge's Core Focus

Greenidge Generation Holdings Inc. is dedicated to vertically integrated power generation, with a specialized focus on cryptocurrency mining and related infrastructure development. The company's commitment to innovation and sustainable growth remains unwavering.

In conclusion, the recent investment from Armistice Capital stands as a testament to Greenidge's commitment to staying ahead in the industry. With a focus on expansion, technological advancement, and financial resilience, Greenidge is well-positioned for continued success in the ever-evolving cryptocurrency and power generation markets.

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