March 2, 2023
IE CA 3 Holdings Limited and IE CA 4 Holdings Limited, British Columbia-based subsidiaries of Iris Energy Limited which collectively operate cryptocurrency mining operations, were placed in receivership on February 3, on application by NYDIG ABL LLC. NYDIG financed the approximately 37,800 mining servers used by the companies. The companies are in default of the financing agreements with NYDIG, including payment defaults in the amounts of approximately $8.3 million and $11.7 million respectively. The companies are collectively indebted to NYDIG in the amount of approximately $114 million. Based on the financial statements of the companies, the prevailing market price of bitcoin, and public statements made by Iris Energy, the companies do not have the ability to repay NYDIG. PwC was appointed as Receiver. Blakes is counsel for NYDIG, Norton Rose Fulbright is counsel of the companies and Osler is counsel for the Receiver.
By Dina Milivojevic
