Bitmain-Backed BitFuFu (Finfront Holding Company), a World-Leading Digital Assets Cloud Mining Service Provider, Entered into a Definitive Merger Agreement with Arisz Acquisition Corp. - Seite 2

BitFuFu Overview

BitFuFu is a fast-growing company in the crypto-mining industry and is dedicated to fostering a secure, compliant, and transparent blockchain infrastructure by providing a variety of stable and intelligent hashrate service solutions. BitFuFu offers a one-stop mining solution for miners of all sizes from institutional customers to individual digital asset enthusiasts. It manages mining machines and mines on behalf of its users, allowing users the option of viewing and managing their rigs conveniently in real-time.

BitFufu’s innovative technologies are one of the key drivers for ensuring its leadership position in the industry. Its proprietary Aladdin system handles ultra-large scale hashrate management and dispatching. The system has the maximum capacity to simultaneously connect millions of miners and provide services that resolve critical mining problems arising from scalability, efficiency, authenticity, and securing hash power.

The Company had a hosting capacity of 140 MW at the end of 2021 across its global mining facilities network and strategic partnership with Bitmain.

BitFuFu received early investment from Bitmain, a world-leading cryptocurrency mining hardware manufacturer. The Company has been the only cloud-mining strategic partner of Bitmain to date and has executed a 10-year mining hosting contract with Bitmain, offering it competitive advantages such as preferential access to mining sites, miners, new markets, and improved operational efficiencies.

Transaction Overview

The Transaction values the combined company at an implied fully diluted pro forma enterprise value of approximately $1.5 billion³, representing a 4.6x 2022 projected revenue of approximately $330 million¹, and 3.3x projected December 2022 annualized recurring revenue of approximately $465 million¹.

The Transaction is expected to provide more than $129 million in net cash proceeds to BitFuFu at closing, after transaction expenses and assuming no redemptions of shares by ARIZ’s existing public stockholders. Existing BitFuFu stockholders are retaining 100% of their equity in the combined company. The proceeds from the Transaction are expected to fund mining equipment purchases and infrastructure build-out as the Company expands its leadership position in the industry.