On Monday, Roth/MKM maintained a positive stance on Bitdeer Technologies Group (NASDAQ: BTDR) shares, reiterating a Buy rating with a consistent price target of $14.00. The firm's assessment follows Bitdeer's announcement of an all-stock acquisition of ASIC design company Desiweminer, involving 20 million Class A shares.
This strategic move is expected to bolster Bitdeer's vertical integration by incorporating Desiweminer's engineering and chip design expertise, which is anticipated to complement Bitdeer's ongoing Sealminer project, with deployment targeted for late 2024.
Bitdeer's recent production figures indicate a downturn, with the company reporting the production of 184 bitcoins (BTC) in May, marking a 37% decrease from March, which was the last full month before the halving event. This decline occurred despite the company maintaining a similar hash rate.
However, Bitdeer has seen a growth in its total exahash per second (EH/s) under management, which has increased to 22.4, indicating adjustments in its self-mining and hosting operations.
The company's operational update also included progress at its Norway facility, which is on course to achieve a 40-megawatt energization by the end of the year. This development is part of Bitdeer's broader efforts to expand its infrastructure and enhance its mining capabilities.
Bitdeer's acquisition of Desiweminer is a strategic initiative that aims to strengthen its position in the cryptocurrency mining industry by enhancing its vertical integration. The acquisition is expected to complement the company's Sealminer project, which is slated for deployment in late 2024.
Despite the recent drop in BTC production, Bitdeer is making strides in increasing its management of total EH/s and is progressing with its Norway site's energization, positioning the company for future growth.
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