Company: ARBK
Filing Date: 2025-03-26
Form Type: 6-K
Source: 0001654954-25-003318
Chunk: 1

Company: Argo Blockchain Plc
Filing Date: 2025-03-26
Form: 6-K
Chunk 1
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 by the issue to the GEM Investors of new ordinary shares in the capital of Argo (" Ordinary Shares "); and

2. for certain GEM Institutional Investors to provide the Company with $10 million investment consisting of a $7.0 million secured convertible note (" Convertible Loan ") and $3.0 million equity investment into the Company (the " Equity Investment " and together with the Convertible Loan, the " Financing ") on the same terms as the conversion of the Convertible Loan (together with the Acquisition, the " Transaction ").

#### Acquisition
● GEM owns 2.4 exahash (EH) of mining machines which, following completion of the Acquisition, is expected to more than double the Company's hashrate and provide the Company with access to the GEM's hosting arrangements. The acquisition is also expected to drive efficiencies and increase overall Bitcoin production.

● GEM has strong institutional backing which is important to the Company as it continues to grow and look for expansion opportunities.

● The consideration for the Acquisition is to be satisfied by the issue of new Ordinary Shares and comprises $11.7 million in initial consideration (the " Initial Consideration ") and up to $10.0 million in contingent consideration (the " Contingent Consideration "), based on the realized hashprice in the 12 months following completion of the Transaction, to be paid out on a quarterly basis.

● The Company share price to be used in connection with the Initial Consideration is 3.4 pence, which is the 20 trading day VWAP as of 25 March 2025 (" Closing Share Price ") and the share price to be used in connection with the Contingent Consideration shall be equal to the 20 trading day VWAP immediately preceding each Contingent Consideration payment.

#### Financing
● The secured, Convertible Loan will carry an interest rate of 8% per annum to be paid-in-kind or in cash at the Company's option and will be convertible at the option of the noteholders into Ordinary Shares at a price per Ordinary Share equal to a 25% discount to the Closing Share Price. The Convertible Loan will mature one year from the date of issuance thereof.

● The Convertible Loan shall be secured with a first priority security interest against all of the assets of the Company and its subsidiaries, however, will be subordinated to any existing mortgages or liens on the Company's real property.

● The $3.0 Equity Investment will be made at a 25% discount to the