Riot Platforms, in its persistent pursuit of Canadian mining giant Bitfarms, has unveiled plans to overhaul the company's board of directors. This bold move includes replacing three key members, including Bitfarms' interim CEO, with individuals Riot deems independent from both entities.

Announcing its substantial ownership stake of approximately 14.9% in Bitfarms as of June 24, Riot revealed this development following Bitfarms' adoption of a shareholder rights plan. This defensive strategy by Bitfarms aims to prevent Riot from acquiring more than 15% of its outstanding shares, prompting Riot to shift its focus from direct acquisition to a strategic boardroom maneuver.

Expressing dissatisfaction with Bitfarms' board, Riot accused them of hindering constructive dialogue regarding their proposed acquisition. Riot clarified its decision to withdraw a previous offer to buy all Bitfarms shares at $2.30 each. Instead, Riot now seeks to engage with a reconstituted Bitfarms board to explore potential merger opportunities that could benefit both companies.

The proposed new board members—John Delaney, Amy Freedman, and Ralph Goehring—are touted by Riot as independent figures untied to either Riot or Bitfarms. This proposed leadership refresh aims not only to align with Riot's strategic vision but also to foster a new era of collaboration and growth for Bitfarms.

Bitfarms' stock performance on the Nasdaq has mirrored the volatility of these developments. While the stock saw a robust increase of over 36% in the past 30 days, it experienced a decline of approximately 6% in the immediate aftermath of Riot's boardroom maneuver announcement.

Despite Riot's proactive stance, Bitfarms has remained reticent, declining to comment on the unfolding situation. Cointelegraph's attempts to solicit a response from Bitfarms went unanswered at the time of reporting, leaving the market speculating on the company's next move amidst Riot's aggressive acquisition ambitions.

This strategic boardroom shake-up marks the latest chapter in Riot's ongoing pursuit of Bitfarms. In May, Riot made a substantial acquisition offer of $950 million for Bitfarms, steadily increasing its stake until Bitfarms implemented its defensive shareholder rights plan to curb further share acquisitions beyond the 15% threshold.

As the situation evolves, the outcome will hinge on Riot's ability to rally shareholder support for its proposed board restructuring and negotiate effectively with the newly appointed Bitfarms board members. The goal remains to forge a path towards a potential merger agreement that could reshape the landscape of the mining industry and solidify Riot's position in the market.