We tweeted on Atlas Cloud Enterprises (CSE: AKE) during its first big rally in October and followed up with a brief back in Mid November when the shares were around $0.50 now with the latest bump up to $1.20 yesterday we thought we would give an update on the company.
Since we last wrote about it they have announced new CFO, Directors & Closed PP @ $0.35 for $14 Million.
Use of the $14 M Private placement:
- $5M for acquisition of geophysical redundancy facility w/ cheap power costs
- $2M for R&D for secure BLOCKCHAIN storage and backup/archiving products;
- $1M for secure, traceable media hosting and streaming products;
- $2M for production and development servers;
- $1M for hiring operational, security and network teams;
- $3M for general corporate purposes and future working capital.
Rockshield Capital Corp (TSX-V RKS) took a portion of the PP as they are developing their own portfolio of early stage investment in Blockchain and Cannabis companies. Check out our report on them here
Rockshield’s investment in Atlas Cloud Enterprises was because of the state-of-the-art operations and scalability with a cheap supply of electricity. Rockshield felt that Atlas Cloud Computing is ideally positioned to become one of the premier bitcoin mining and blockchain service companies………..
Early trading has started to take off on their ghost Frankfurt listing
Summary of the News Release:
AKE acquired MKH Electric City Holdings (Washington State Corp) for $300,000 USD who own a 6,600-sq. ft. location which Atlas Cloud is in the process of retrofitting into a cyrptocurrency mining facility.
The facility is located right next to the large Grant Coulee Dam.
AKE is able to secure one of the worlds least expensive commercial rates for electricity $0.03/kWh and they have the ability to almost double their energy usage to expand their mining farm.
They will spend an additional $2.6M USD to get the current warehouse facility reborn as a cryptocurrency mining data center over 2 phases.
Phase 1 will have the ability to host up to 1,700 mining servers using 3MW of power and Phase 2 to be completed in 2019 to use an additional 2MW.
It wont take long for you to do some back of the envelope calculations to find out that this is a good deal.
The share price has shot up over 120% since our last article and based on early trading in Europe, this one is going for quite a run.
Fortune favors the bold
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