Bitcoin (BTC) miner Riot Platforms (RIOT) has abandoned its pursuit of rival Bitfarms (BITF).
In a news release, Riot Platforms said it is giving up its proposed takeover of Bitfarms, which was rejected by the company.
At the same time though, Riot Platforms has proposed an overhaul of Bitfarms board of directors.
Riot has nominated John Delaney, Amy Freedman and Ralph Goehring to replace current Bitfarms board members.
“It has become evident to Riot that good faith negotiations simply will not be possible until there is real change in the Bitfarms boardroom," said Riot Platforms in a news release.
Riot Platforms can propose new board members as it is Bitfarms' largest shareholder with a 15% ownership stake in the company.
Executives at Riot Platforms had previously called for the removal Bitfarms' board chairman and interim chief executive officer (CEO) Nicolas Bonta.
The proposed board room and leadership changes follow a failed hostile takeover bid for Bitfarms, which saw Riot Platforms offer to pay $2.30 U.S. per share for the rival crypto miner.
Bitfarms rejected the hostile takeover bid from Riot Platforms. However, Riot has continued to buy Bitfarms stock to exert pressure on the board of directors.
Most recently, Bitfarms implemented a poison pill strategy to deter Riot from buying the company outright.
Management at Riot Platforms have said that they want to acquire Bitfarms to create the world's largest publicly traded Bitcoin miner.
Bitfarms’ stock is currently trading at $2.68 U.S. per share, above Riot Platforms takeover bid and up 94% in the last 12 months.
The stock of Riot Platforms is down 15% over the past year and currently trading at $9.21 U.S. a share.
