Argo Blockchain loses investor confidence

The company published plans to strengthen the balance sheet. The main reason for it was the rising price of electricity and the fall in the value of BTC. It caused a drop in the value of securities on the London Stock Exchange by 15%.

It is planned to sell 3.4 thousand units of mining equipment, as well as to attract investments to ensure a stable position. The result should be $33.8 million ($6.8 million – proceeds from hardware sales and $27 million – from investors’ funds).

In addition, the current agreement regarding equipment financing has been amended: $5.7 million has been allocated from restricted assets. According to CEO, Peter Wall:

These steps will provide Argo Blockchain with working capital for executing its current strategy and meeting its obligations. Also, the actions taken will help preserve shareholder value and respond more appropriately to changing market conditions.