REG-Clear Leisure Plc: 100% Acquisition of Crypto Data Centre

Quantum Blockchain TechnologiesAnnouncement

23/08/2019 07:05

23 August 2019

Clear Leisure Plc

(“Clear Leisure” or “the Company”)

100% Acquisition of Crypto Data Centre

Following the business update of 19 August 2019, the Company is pleased to
confirm that it has now signed an agreement with its Joint Venture partner,
64Bit Ltd, whereby the partner has agreed to sell its 50% holding in the data
centre for the price of €1, including the pro rata assignment of the
Bitcoins and Litecoins mined to date. Therefore, the Company now owns 100% of
the data centre.

The nominal settlement price, under the termination agreement, reflects the
acknowledgement by 64Bit Ltd of its mismanagement of the Joint Venture
operations, including a wrongful allocation of the partnership’s resources,
mainly during the start-up phase. Clear Leisure was made aware of these
issues, through its own investigations into how it could increase the
performance of the data centre, including the board speaking with similar
sized businesses in the industry. The result of these investigations helped
identify the specific problems, leading to the termination of the Joint
Venture.

The data centre remains on care and maintenance although the recent rise in
the price of Bitcoin has encouraged the Company to reassess its options for
recommencing production under Miner One Limited’s supervision, utilising
innovative mining strategies, involving new types of machines to mine
different cryptocurrencies, as well as the more familiar Bitcoins and
Litecoins.

Clear Leisure has also begun discussions with IT consultant companies to
determine the most viable option for outsourcing the operations of the data
centre to a new partner. Possible outcomes, should the Company choose not to
operate the data centre itself, could result in the data centre being rented
to a third party, or selling it to a larger crypto mining operator.

The Board’s decision will mostly depend on the availability of alternative
low-cost power locations, in Serbia or nearby countries, which can provide
electricity at a level which will make the operation profitable. The current
location is no longer available to the Company.

Francesco Gardin, CEO and Executive Chairman of Clear Leisure, commented,
“Despite market and mining conditions remaining difficult compared to when
the data centre operations commenced last year, the recent announcements of
new initiatives in the sector, namely Facebook’s Libra and Binance’s Venus
Stablecoin projects, appear to be having a strong positive impact on the price
of cryptocurrencies. The trend towards wider acceptance of cryptocurrencies as
a means of exchange and store of value, particularly in those regions which
have a high unbanked population rate, continues to rise.”

-ends-

For further information please contact:

Clear Leisure
Plc                                                                                 
+39 335 296573

Francesco Gardin, CEO and Executive Chairman

SP Angel Corporate Finance (Nominated Adviser & Broker)      +44 (0)20
3470 0470

Jeff Keating / John
Mackay                                                                                              

Leander (Financial
PR)                                                                
+44 (0) 7795 168 157

Christian Taylor-Wilkinson

About Clear Leisure Plc

Clear Leisure plc (AIM: CLP) is an AIM listed investment company with a
portfolio of companies primarily encompassing the leisure and real estate
sectors mainly in Italy. The focus of the management is two-fold: to pursue
the monetisation of all of the Company’s existing assets, through selected
realisations, court-led recoveries of misappropriated assets and substantial
debt-recovery processes and to seek technology related investments, with
special regard to interactive media, blockchain and AI sectors. For further
information, please visit, www.clearleisure.co.uk



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