Hatten Land rises 11.6% on latest crypto mining tie-up

Singapore

SHARES of Hatten Land soared on Thursday (Mar 31) amid heavy trading following the group's announcement of a new partnership for its crypto mining activities in Melaka.

As at 11.23 am, its share price had climbed 14 per cent or S$0.006 to reach an intra-day high of S$0.049. The counter eventually ended at S$0.048, up S$0.005 or 11.6 per cent with 59 million securities transacted, making Hatten Land the second-most actively traded counter by volume after Sembcorp Marine.

No married deals were recorded throughout the day, according to ShareInvestor data.

Hatten Land's share price activity comes after the Catalist-listed property developer announced its subsidiary's new partnership, which would allow the addition of up to 550 crypto mining rigs to the group's crypto mining facilities in Melaka.

The first 50 sets are targeted to be delivered as pilot batch machines by end-April with an option to deliver an additional 500 rigs in 2022, announced the group on Thursday.

Produced by digital currency mining server manufacturer Bitmain, the S19J Pro machines are top-of-the-line and considered to be one of the most productive and energy-efficient mining rigs in the market, said Hatten Land in its press statement.

While its new business partner was not named, Hatten Land said the entity and its owner have hundreds of crypto mining rigs operating within Southeast-Asia including Peninsular Malaysia, East Malaysia and Laos - and endeavours to expand its crypto mining operations with Hatten Land in Melaka.

Both companies will share the net proceeds of the cryptocurrencies that are mined after deducting the related operational and management expenses.

Hatten Land therefore expects the latest agreement to contribute positively to its net assets and financial performance for the financial year ending Jun 30, 2022.

Colin Tan, executive chairman and managing director of the group, believes Hatten Land is now more well-equipped and better positioned than ever to expand its operations since it commenced its crypto mining activities in January 2022.

"Large-scale, high-quality, low-cost crypto mining facilities are highly sought-after in Malaysia. With our growing track record, we aim to build on this momentum to secure new partnerships and expand into one of the leading cryptocurrency mining service providers in Asia," said Tan.

Separately, Hatten Land announced that it will now accept major cryptocurrencies for property sale, retail and hospitality transactions under its property portfolio, in light of the reopening of borders between Singapore and Malaysia.

Hatten Land's key properties are primarily in Melaka.

Its current portfolio comprises 5 integrated mixed-use development projects and retail malls that have a combined built-up area of 6 million square feet.