Stater advances blockchain development with letter of intent from Long Blockchain Corporation

“This merger would truly be a transformational moment for our business. Stater Blockchain brings a number of different assets to the table and our collective business will be unique in the investor space. It gives a holistic value add for shareholders through accretive blockchain expertise and plans, as well as a regulated institutional brokerage through Stater Global Markets.” – Ramy Soliman, CEO, Stater Global Markets

Long Blockchain Corporation has announced that it has entered into a letter-of-intent with Stater Blockchain Limited.

Stater’s wholly-owned subsidiary, Stater Global Markets, is a Financial Conduct Authority (FCA) regulated brokerage that facilitates market access across multiple instruments including spot FX, digital currency futures and contracts for difference (CFDs).

The letter-of-intent contemplates an all-stock transaction pursuant to which the Company would form a wholly-owned subsidiary which would merge with and into Stater with Stater surviving as a wholly-owned subsidiary of the Company. It is anticipated that the Company would remain listed on the Nasdaq Capital Markets following the closing of the transaction.

If the Company is able to reach an agreement with Stater and the transaction is consummated, it is expected to complement its recently announced agreement to acquire 1,000 Antminer S9 mining rigs and 1,000 APW3++ PSUs.

Philip Thomas, Chief Executive Officer of Long Blockchain, commented, “We are excited to announce this potential milestone event for the Company. Stater has been making investments to build its cryptocurrency platform and blockchain solutions, and we look forward to combining our efforts in this transformational partnership.”

“Our ultimate goal is to build a portfolio of investments that touch multiple points in the blockchain ecosystem and this transaction
would be an important step in that direction” said Mr Thomas.

Ramy Soliman, Chief Executive Officer of Stater Blockchain, added, “This merger would truly be a transformational moment for our business. Stater Blockchain brings a number of different assets to the table and our collective business will be unique in the investor space. It gives a holistic value add for shareholders through accretive blockchain expertise and plans, as well as a regulated institutional brokerage through Stater Global Markets.”

“This combination of fintech and brokerage is a really powerful value proposition and we look forward to working with Philip and his team
to achieve a leading position in a dynamic new world” concluded Mr Soliman

Terms of the letter-of-intent between the Company and Stater have not been made public at this time. Completion of the transaction is subject to the negotiation of a definitive merger agreement between the parties (the “Merger Agreement”), satisfaction of the conditions negotiated therein and approval of the transaction by the Company’s stockholders. Accordingly, there can be no assurance that a Merger Agreement will be entered into or that the proposed merger with Stater will be consummated.

Assuming the Company and Stater enter into the Merger Agreement, the parties will look to seek stockholder approval from the Company’s stockholders in the second quarter of 2018, subject to SEC review of the proxy statement to be filed by the parties for the proposed transaction, and will look to close the transaction shortly thereafter.

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