San Antonio, TX, Dec. 30, 2020 (GLOBE NEWSWIRE) — U.S. International Buyers, Inc. (NASDAQ: GROW) (the “Firm”), a boutique registered funding advisory agency with longstanding expertise in international markets and specialised sectors, is happy to announce that it has lately bought 10 million shares of HIVE Blockchain Applied sciences (TSX.V:HIVE) (OTCQX:HVBTF) (“HIVE”), locking in substantial positive aspects. HIVE is the world’s first publicly-traded agency concerned within the enterprise of mining new cryptocurrencies. The Firm additionally publicizes that it plans to reinvest the proceeds from the sale again into HIVE through a non-public placement of unsecured convertible debentures, topic to regulatory approval by the TSX Enterprise Alternate.
HIVE Shares Bought by U.S. International Buyers
Frank Holmes, the Firm CEO and Interim Government Chairman of HIVE, feedback: “U.S. International Buyers has lately bought shares of HIVE with the purpose of redeploying capital again into HIVE. No shares have been bought by me personally, regardless of stories on the contrary. My private possession of HIVE inventory is totally separate from the Firm’s, and any stories that counsel I bought my holdings have been made erroneously. I proceed to imagine strongly within the long-term imaginative and prescient of HIVE, and I’m excited to stay part of its distinctive story.
“By repositioning our funding in HIVE, we search to proceed collaborating within the crypto-mining ecosystem whereas decreasing a lot of the volatility of our funding portfolio. Two years in the past, a change was made to how we document unrealized positive aspects and losses of sure company investments, such that our fairness place in HIVE typically swung our web earnings dramatically quarter-to-quarter. Clearly debt securities akin to convertible debentures include their very own dangers, however traditionally they’ve been much less risky than shares.
“It’s necessary for buyers and merchants to handle their expectations, as each asset class has its personal DNA of volatility. Bitcoin and Ethereum are extraordinarily risky, which is mirrored in HIVE’s inventory worth because it mines each cash. HIVE is essentially the most liquid crypto-mining inventory, and but it’s nonetheless extra risky than a extremely disruptive mega-cap inventory like Tesla.”
Redeploying Capital Again Into HIVE
The Firm locked in positive aspects of roughly $18 million after promoting the ten million shares of HIVE. Fifteen million {dollars} of that is anticipated to be put towards the non-public placement, if authorised by regulators.
The debentures are anticipated to mature 60 months following the date of issuance, bearing curiosity at a price of 8% per 12 months, paid month-to-month. They’re additionally anticipated to be issued at par, with each being redeemable by HIVE at any time, and convertible on the possibility of the Firm into frequent shares within the capital of HIVE at a conversion worth of C$3.00 per share.
As well as, the Firm is predicted to be issued 5 million frequent share buy warrants. Every complete warrant ought to entitle the Firm to amass one frequent share in HIVE at a worth of C$3.00 for a interval of three years from closing.
“This transaction could possibly be a win-win for the Firm in addition to HIVE,” Mr. Holmes says. “HIVE could be given working capital to reinforce liquidity and preserve momentum in buying application-specific built-in circuit (ASIC) chips whereas upgrading and increasing its graphics processing unit (GPU) chip manufacturing to mine Ethereum, whereas the Firm would obtain a convertible debt instrument yielding 8%. We anticipate the financing to be accomplished with out the standard 6% dealer charges, and the price of capital for HIVE is way lower than the 16% price of capital related to leasing tools for crypto mining.
“All publicly-traded crypto-mining corporations have elevated by triple digits or extra this 12 months, however solely HIVE mines Ethereum and Bitcoin, each of which had an outstanding fourth quarter and 2020. On this high-price atmosphere, many crypto miners, HIVE included, have been increasing their operations, a constructive signal of what’s to return.
“HIVE’s each day buying and selling quantity has elevated considerably in 2020, making it a horny crypto inventory for buyers who additionally favor liquidity. In December 2020, by way of the twenty ninth, HIVE traded greater than 302 million shares, virtually 30% greater than the earlier month and 678% greater than the identical month a 12 months earlier. For the 12 months by way of December 29, HIVE traded a complete of 1.7 billion shares. In Canada alone. HIVE trades in three international locations and has traded over 2 billion shares this 12 months.”
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About U.S. International Buyers, Inc.
The story of U.S. International Buyers goes again greater than 50 years when it started as an funding membership. Immediately, U.S. International Buyers, Inc. (www.usfunds.com) is a registered funding adviser that focuses on area of interest markets world wide. Headquartered in San Antonio, Texas, the Firm supplies cash administration and different providers to U.S. International Buyers Funds and U.S. International ETFs.
About HIVE Blockchain Applied sciences, Ltd.
HIVE Blockchain Applied sciences Ltd. is a progress oriented, TSX.V-listed firm constructing a bridge from the blockchain sector to conventional capital markets. HIVE owns state-of-the-art inexperienced energy-powered information middle amenities in Canada, Sweden and Iceland which produce newly minted digital currencies like Bitcoin and Ethereum constantly on the cloud. Its deployments present shareholders with publicity to the working margins of digital forex mining in addition to a portfolio of crypto-coins.
Frank Holmes has been appointed non-executive chairman of the Board of Administrators of HIVE Blockchain Applied sciences. Each Mr. Holmes and U.S. International Buyers personal shares of HIVE. Efficient 8/31/2018, Frank Holmes serves because the interim government chairman of HIVE.
The S&P 500 Inventory Index is a widely known capitalization-weighted index of 500 frequent inventory costs in U.S. firms.
Commonplace deviation is a measure of the dispersion of a set of knowledge from its imply. The extra unfold aside the info, the upper the deviation. Commonplace deviation is also referred to as historic volatility.
Holdings could change each day. Holdings are reported as of the latest quarter-end. The next securities talked about within the press launch have been held by a number of accounts managed by U.S. International Buyers as of 9/30/2020: Tesla, Inc.
Holly Schoenfeldt U.S. International Buyers, Inc. 2103081268 hschoenfeldt@usfunds.com
