Company: ABTC
Filing Date: 2025-07-22
Form Type: S-4/A
Source: 0001213900-25-066299
Chunk: 185

Company: American Bitcoin Corp.
Filing Date: 2025-07-22
Form: S-4/A
Chunk 185
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 adjusted book value approach was used as another indicator of value. In preparing this analysis, Marshall & Stevens considered the following statements provided by Gryphon’s management: •According to Gryphon’s management, Gryphon, relative to other larger Bitcoin mining companies, is disadvantaged given its smaller size, less efficient fleet equipment and energy usage, which has the effect of making Bitcoin more expensive for Gryphon to mine relative to other Bitcoin mining companies; •as of the date of the M&S Opinion, ABTC operates more efficiently than Gryphon, which makes its cost to mine one Bitcoin less than half of Gryphon’s cost to mine one Bitcoin based on discussions with Gryphon’s management and publicly available information on Gryphon, ABTC and Hut 8; 83 •as of the date of the M&S Opinion, according to Gryphon’s management, Gryphon’s hash rate is approximately 0.998 (EH/s) which is estimated at 0.1% of the global network hash rate. Based on discussions with Gryphon’s management, in light of Gryphon’s financial condition, and the absence of any reported strategic plan to invest in hash rate, Gryphon’s management expects their share of global network hash rate to go down to approximately 0.04% of global network hash rate by end of the second quarter of 2025. •In contrast, ABTC has a path to more than double its current reported hash rate of approximately 10 (EH/s) to 25 (EH/s) based on ABTC investor presentation, “Building America’s Bitcoin Infrastructure Backbone” as of April 2025 and Hut 8 investor presentation, “Hut 8 Operations Update for January 2025” as of February4, 2025. •Relative to other Bitcoin miners (such as MARA Holdings, CleanSpark, and Riot Platforms), Gryphon’s revenue growth has underperformed over the last two years, increasing by less than 1% in 2023 and declining by 6.3% in 2024. In contrast, other Bitcoin mining companies have grown either hash rate and/or revenue, based on publicly available information on Capital IQ, a financial database. •For the one analyst (HC Wainwright & Co.) that is covering Gryphon’s stock, they estimated revenue decline of 35% and gross margin negativity in FY 2025 based on their report as of April1, 2025. •Subsequent to Bitcoin block awards halving in April 2024, based on draft Q1