Riot Platforms (RIOT) Revamps Board and Explores AI Opportunities

Riot Platforms (RIOT) Revamps Board and Explores AI Opportunities

Joerg Hiller Feb 13, 2025 08:20

Riot Platforms announces new board members and evaluates AI and HPC opportunities, aiming to enhance asset value. The company engages Evercore and Northland Capital Markets for advisory roles.

Riot Platforms, Inc. (NASDAQ: RIOT), a prominent player in the Bitcoin mining industry, has announced significant changes to its Board of Directors, appointing Jaime Leverton, Doug Mouton, and Michael Turner. According to riotplatforms.com , these appointments are part of a strategic move to leverage the trio's expertise in converting Bitcoin mining assets for potential uses in artificial intelligence (AI) and high-performance computing (HPC).

Board Restructuring and Strategic Vision

With the addition of Leverton, Mouton, and Turner, Riot's board will now comprise six members. The new directors were chosen through a rigorous process involving input from Starboard Value LP and The D. E. Shaw Group. Leverton and Mouton are set to stand for election at the 2025 Annual Meeting of Stockholders, while current directors Hannah Cho and Hubert Marleau will be stepping down.

Benjamin Yi, Executive Chairman of Riot, expressed gratitude towards the outgoing directors and welcomed the incoming members, highlighting their potential to enhance Riot's asset value. Leverton's background includes a tenure as CEO of Hut 8 Mining Corp, where she led significant mergers and acquisitions, while Mouton brings vast experience in data center design and construction from his previous roles at Meta and Microsoft. Turner, formerly of Oxford Properties Group, adds his expertise in real estate investment and asset management to the board.

AI and HPC Initiative

Riot Platforms is also advancing its exploration of AI and HPC opportunities for its power assets. The company has engaged Evercore as a financial advisor and Northland Capital Markets to assist in evaluating these prospects. This move follows increased interest from potential partners and aims to maximize the value of Riot's Corsicana Facility in Texas.

CEO Jason Les emphasized the company's commitment to this evaluation process, aiming to unlock substantial shareholder value. Riot has previously enlisted the consultancy of Altman Solon and other industry experts to support this initiative.

Industry Context and Future Outlook

The strategic appointments and AI/HPC exploration come amid a broader industry trend where traditional Bitcoin mining firms are diversifying into emerging technologies. This shift is driven by the potential of AI and HPC to transform digital infrastructure and provide new revenue streams.

However, Riot cautions that there is no guarantee that its assets will be suitable for AI/HPC conversion or that financially advantageous terms can be achieved. The company maintains a forward-looking stance, focusing on innovation and strategic partnerships to navigate these uncertainties.

As Riot Platforms continues its journey, the company's leadership believes that the combination of innovative strategies and strong community partnerships will be pivotal in achieving its long-term vision of being a leader in Bitcoin-driven infrastructure.