09:19 AM EDT, 10/15/2025 (MT Newswires) -- Innovation Beverage Group ( IBG ) shares climbed 42% pre-bell Wednesday after the company said it has entered into a definitive agreement for a reverse triangular merger with BlockFuel Energy.

Under the terms of the agreement, BlockFuel Energy shareholders will own 90% of the combined entity post-merger, with Innovation Beverage ( IBG ) shareholders owning the remaining 10%, the companies said.

The combined company is expected to have an equity valuation of $220 million to $343 million, as IBG's public market presence is integrated with BlockFuel's energy and bitcoin mining technologies, the companies said.

The deal is expected to close in Q4 and the merged company is expected to trade on Nasdaq under the ticker symbol "FUEL."