Company: ABTC
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076632
Chunk: 48

Company: American Bitcoin Corp.
Filing Date: 2025-08-14
Form: 10-Q
Item: Item 8
Chunk 48
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 as applicable, of (i)
Captus Generation Ltd. (“Captus GP”) and BowArk Energy Ltd., each a Canadian corporation, and (ii) Captus General Limited
Partnership, a Canadian limited partnership (collectively “Captus Energy,” and the transaction contemplated by the Captus
Agreement, the “Captus Acquisition”).

In connection with the Captus
Agreement, on January 8, 2025, as a material inducement to their agreeing to become employees of the Company, the Company granted a restricted
stock award to each of Harry Andersen, Paul Connolly, Mark Taylor and Steve Giacomin (collectively, the “Restricted Stock Awards”).
The Restricted Stock Awards were intended to constitute “employment inducement awards” under the Nasdaq Stock Market Rules.
The aggregate restricted stock shares issued was 4,083,003.

On May 29, 2025, the Company
entered into an Assignment and Amending Agreement (“Assignment Agreement”) with Captus Energy and 2703444 Alberta LTD (“Assignee”).
Captus Energy consented to the Company’s assignment of its rights and interests in the Captus agreement to the Assignee, which agreed
to the assumption of the rights and interest in the Captus agreement for $1.00. As of the Assignment date, the Company wrote off the Captus
Acquisition cost of approximately $1,292,000 classified as the merger and acquisition expenses in accompanying unaudited condensed consolidated
statement of operations. In addition, the Restricted Stock Awards were cancelled and returned to the Company.

28

Results of Operations

Six months ended June 30, 2025 compared to the six months ended
June 30, 2024

The following table shows the Company’s
results of operations for the six months ended June 30,

    Change 

    2025  
    2024  
    Dollar  
    Percentage 
  
    Revenues 

    Mining revenues 
    $2,935,000  
    $13,005,000  
    $(10,070,000) 
     (77.4)%
  
    Operating cost 

    Cost of revenues (excluding depreciation) 
     3,662,000  
     8,640,000  
     (4,978,000) 
     (57.6)
  
    General and administrative expenses 
     4,647,000