Bitcoin (CCC:BTC-USD) news for Friday includes crypto mining company Cipher Mining planning to go public via a special purpose acquisition company (SPAC) merger with Good Works Acquisition (NASDAQ:GWAC) and GWAC stock is soaring.
Here’s everything potential investors in GWAC stock need to know about the companies and SPAC merger.
- Good Works Acquisition is a blank check company created with the goal of taking a private company public.
- The sponsor of the company is an affiliate of I-Bankers Securities.
- Cipher Mining is a bitcoin mining company based in the U.S.
- The company has plans for four mining facilities in Ohio and Texas.
- The SPAC merger between Good Works Acquisition and Cipher Mining values the combined company at $2 billion.
- Once the deal is done, the combined company will operate under the name Cipher Mining Inc.
- This will also see shares of GWAC stock change over to the CIFR stock ticker.
- Cipher Mining is set to come out of the SPAC merger with $595 million in gross cash.
- That includes $170 million in cash held in Good Works’ trust account from its initial public offering (IPO) last year.
- Another $425 million comes from a private investment in public equity (PIPE).
- The Board of Directors at both companies have approved the SPAC merger.
- Now it just needs approval from regulators and shareholders of GWAC stock.
- If all goes well, the deal is set to close in the second quarter of 2021.
GWAC stock was up 6.3% as of Friday afternoon.
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article.