Hut 8 Mining, a North American digital asset mining and computing infrastructure company, entered into a transaction support agreement with Macquarie Equipment Finance in support of an opportunity to potentially acquire certain assets of Validus Power and Validus’ subsidiaries.
Validus was previously a supplier of energy to the Hut 8 Mining’s mining facility in North Bay, ON. Macquarie is a secured creditor of the Validus entities under an existing secured lease and participation agreement.
Pursuant to an order of the Ontario Superior Court of Justice issued on Aug. 10, on application by Macquarie, KSV Restructuring, a licensed insolvency trustee with experience in receivership mandates, was appointed as receiver of the property, assets and undertakings of the Validus entities.
Subject to the satisfaction of certain conditions, under the terms of the agreement between Hut 8 Mining and Macquire Equipment Finance, a stalking horse bid is to be submitted to the KSV Restructuring in support of a proposed sale and investment solicitation process to be carried out in respect of the Validus entities.
A stalking horse bid, if ultimately successful, is expected to result in the full and final resolution of all litigation claims and counterclaims currently pending between Hut 8 and certain Validus entities.
