Galaxy Digital stock drops as BitGo purchase terms change

Galaxy Digital (OTCPK:BRPHF) shares are dipping 13% Thursday afternoon as the company changed the terms to its acquisition of digital asset infrastructure provider BitGo. The purchase was initially expected to close in 2021, though "we've extended our deal to the end of the year with BitGo" to account for the "progress that BitGo has made," Mike Novogratz, Founder, CEO, Chairman of Galaxy Digital, said in his company's Q4 earnings call. BitGo had hired roughly 150 additional staffers since the deal was inked, Novogratz added. Regarding the new terms, the consideration to BitGo shareholders will consist of 44.8M newly issued shares of Galaxy Digital (BRPHF) common stock and $265M in cash, implying an aggregate transaction value of approximately $1.15B based on BRPHF's closing price on March 30, according to its Q4 earnings report. In turn, BitGo shareholders will own approximately 12% of the pro forma company. The acquisition is expected to close immediately after the