07:49 AM EST, 12/03/2024 (MT Newswires) -- Dynamite Blockchain (BLOX.CN) on Tuesday entered into a binding arm's length securities exchange agreement as it moved to buy all outstanding shares of Kaspa Mining Limited for a total consideration of about C$4.8 million.

The total consideration for the acquisition will be 30 million common shares of the company, at a deemed issue price of $0.16 per share. Completion of the agreement is subject to customary conditions precedent and is targeted for December 9, 2024.

Tuesday's statement noted this strategic acquisition is expected to "significantly ramp up" the company's Kaspa-oriented capabilities. Kaspa Mining currently owns and operates 25 "high-performance" Bitmain KS5 Pro Kaspa miners and the acquisition is expected to also provide the company with access to the target's expansive Kaspa-focused capabilities and networks.

"We believe that our strategy of focusing on Kaspa will create the highest potential long-term value for our shareholders. The company aims to not only mine and hold Kaspa, but also to drive innovation within its ecosystem," said Dynamite Chief Executive Officer Akshay Sood.

Dynamite added that it received approval from the Canadian Securities Exchange to change its ticker symbol to "KAS."

Shares of Dynamite Blockchain were up 10% at last close.