EDGAR·FLOW

OLENOX INDUSTRIES INC. — Form 8-K/A

Filed August 11, 2026 · analyzed by the 8-K Agent
8-K/A ▼ Likely negative significance 88/100
What the filing says
On May 26, 2026, Olenox Industries Inc. (public market cap ~$7.8M) acquired 100% of CS Digital Ventures LLC, a Bitcoin mining operator, for total consideration of $52.1M comprising: $14.0M in Series D Preferred Stock (140,000 shares at $100/share), $16.0M Seller Note (10% interest, due May 2029), warrants for 1.5M common shares at $5–$9/share exercise prices (valued $6.7M), and up to $15.4M in contingent Earnout Shares tied to revenue and EBITDA milestones. CS Digital operates ~4,684 Antminer S21+ units generating ~$20.6M mining revenue (2025). The acquisition eliminates Olenox's historical $120M+ accumulated deficit by consolidation and creates $21.5M preliminary goodwill. Pro forma 2025 combined net loss: $20.7M; Q1 2026 net loss: $3.6M.
Why this rating

Acquisition is 6.7× Olenox's prior market cap—transformational in size. Adds operational Bitcoin mining but dilutes equity heavily ($14M preferred issuance, warrants, earnout). Combined entity shows continued losses. Significant execution risk and leverage.

View original filing on SEC.gov ↗ OLOX · stock on Yahoo Finance ↗

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