Long Blockchain Corp. Determines Not to Purchase Bitcoin Mining Equipment, Remains Committed to Proposed Merger with Stater B...
February 02 2018 - 8:00AM
Long Blockchain Corp. (NasdaqCM: LBCC) (the “Company”) today
announced that it will not acquire the 1,000 Antminer S9 mining
rigs and 1,000 APW3++ PSUs pursuant to its previously announced
purchase agreement.
After thoughtful consideration and in
consultation with outside technology advisors, the Company will
instead focus its efforts on seeking to enter into and ultimately
consummate its previously announced proposed merger with Stater
Blockchain Limited (“Stater”), a technology company focused on
developing and deploying globally scalable blockchain technology
solutions across the financial markets, and exploring additional
opportunities and strategic investments across the ancillary
blockchain ecosystem.
Shamyl Malik, head of the Company’s Blockchain
Strategy Committee, commented, “While we continue to believe in the
value of mining equipment to the blockchain ecosystem, the purchase
of these machines - which was negotiated as a no-risk option to the
Company - was just one of the multiple strategic avenues we have
been considering. We will continue to evaluate the purchase of
mining equipment for Bitcoin and other digital currencies as part
of our larger blockchain initiative, which includes among other
potential transactions the proposed merger with Stater.”
About Long Blockchain Corp.
Long Blockchain Corp. is focused on developing
and investing in globally scalable blockchain technology solutions.
It is dedicated to becoming a significant participant in the
evolution of blockchain technology that creates long term value for
its shareholders and the global community by investing in and
developing businesses that are “on-chain”. Blockchain technology is
fundamentally changing the way people and businesses transact, and
the Company will strive to be at the forefront of this dynamic
industry, actively pursuing opportunities. Its wholly-owned
subsidiary Long Island Brand Beverages, LLC operates in the
non-alcohol ready-to-drink segment of the beverage industry under
its flagship brand ‘The Original Long Island Brand Iced Tea®’. For
more information on the Company, please visit
www.longblockchain.com.
Forward Looking
Statements
This press release includes statements of the
Company’s expectations, intentions, plans and beliefs that
constitute "forward looking statements" within the meaning of
Section 27A of the Securities Act of 1933 and Section 21E of the
Securities Exchange Act of 1934 and are intended to come within the
safe harbor protection provided by those sections. These
statements, which involve risks and uncertainties, relate to the
discussion of the Company’s business strategies and its
expectations concerning future operations, margins, sales, new
products and brands, potential joint ventures, potential
acquisitions, expenses, profitability, liquidity and capital
resources and to analyses and other information that are based on
forecasts of future results and estimates of amounts not yet
determinable. These also include statements relating to the
possibility that the Company and Stater are able to execute a
definitive agreement for the proposed transaction when expected or
at all; the structure, timing and completion of the proposed
transaction between the Company and Stater; and the anticipated
benefits of the proposed transaction between the Company and
Stater. These statements include any statement that does not
directly relate to a historical or current fact. You can also
identify these and other forward-looking statements by the use of
such words as "may," "will," "should," "expects," "intends,"
"plans," "anticipates," "believes," "thinks," "estimates," "seeks,"
"predicts," "could," "projects," "potential" and other similar
terms and phrases, including references to assumptions. These
forward looking statements are made based on expectations and
beliefs concerning future events affecting the Company and are
subject to uncertainties, risks and factors relating to its
operations and business environments, all of which are difficult to
predict and many of which are beyond its control, that could cause
its actual results to differ materially from those matters
expressed or implied by these forward looking statements. These
risks include the Company’s history of losses and expectation of
further losses, its ability to expand its operations into
blockchain technologies, its ability to develop or acquire new
brands, the success of its marketing activities, the effect of
competition in its industry and economic and political conditions
generally, including the current economic environment and markets.
More information about these and other factors are described in the
reports the Company files with the Securities and Exchange
Commission, including but not limited to the discussions contained
under the caption “Risk Factors.” When considering these forward
looking statements, you should keep in mind the cautionary
statements in this press release and the reports the Company files
with the Securities and Exchange Commission. New risks and
uncertainties arise from time to time, and the Company cannot
predict those events or how they may affect it. The Company assumes
no obligation to update any forward looking statements after the
date of this press release as a result of new information, future
events or developments, except as required by the federal
securities laws.
Contacts:
For Investors
Shamyl Malik
Long Blockchain Corp.
1-855-452-LBCC
info@longblockchain.com