Hot stock: SMI Vantage up 28.3% on crypto mining machines acquisition

SHARES of mainboard-listed SMI Vantage Y45 spiked in early trade on Thursday (Nov 25) morning after the company announced the day before that it was acquiring 3,000 crypto mining machines.

As at 9.09 am, the counter had hit a high of S$0.118, rising S$0.026 or 28.3 per cent after 12.7 million securities changed hands. It later eased to S$0.113 as at 11.51 am, up S$0.021 or 22.8 per cent.

The share price movement comes after watch-listed SMI Vantage on Wednesday (Nov 24) evening announced it was acquiring 3,000 crypto mining machines from a wholly-owned subsidiary of The9 for some 3.3 million yuan or S$705,000.

According to SMI Vantage, the company has already received the first 100 crypto mining machines. It also has an option to buy a further 2,000 machines from The9.

The company further intends to develop a new "mining-as-a-service" platform with The9 and NHASH, a cloud mining platform.

News of SMI Vantage's latest acquisition comes a week after the group and The9 agreed to explore the development of a non-fungible token (NFT) publishing business with plans to tap the growing interest in crypto assets.

In its Nov 17 announcement, the company said that it intends to seek digital content for publication and sale across several NFT platforms under the memorandum of understanding inked with The9.

Listed on the Nasdaq, The9 is a tech company incorporated in the Cayman Islands and headquartered in China.