Bitcoin News Today: Rumble to Acquire Northern Data in $1.17B Stock Deal to Expand AI Cloud Infrastructure

Rumble has announced its intention to acquire German artificial intelligence and high-performance computing company Northern Data in a stock-for-stock transaction valued at approximately $1.165 billion. Under the proposal, Northern Data shareholders would receive 2,319 new Rumble Class A shares for each share held, giving them a pro forma 33.3% ownership of Rumble [2]. Tether, Northern Data’s largest shareholder with a 54% stake, has signaled its support for the deal and intends to convert its entire holding into Rumble stock [2]. As a result, Tether would become Rumble’s largest Class A shareholder and commit to a multi-year GPU supply agreement [1].

The transaction is part of a broader strategy to expand Rumble’s AI and cloud computing capabilities. Northern Data’s Taiga cloud unit and Ardent data centers, which include over 20,000 Nvidia GPUs and 850 MW of deployed capacity, are expected to be integrated into Rumble’s infrastructure. A planned expansion of 180 MW in Maysville, Georgia, further underscores the company’s ambitions in global AI cloud services [5]. Rumble emphasized that the combined entity will prioritize leadership in AI cloud services, as well as global data privacy and operational independence [2].

The deal is subject to several conditions, including regulatory approval, final board decisions, and successful due diligence. Rumble’s CEO, Chris Pavlovski, has stated his intention to retain majority voting control and support the transaction [1]. The company has also outlined plans to divest Northern Data’s Peak Mining unit prior to the transaction’s completion. A non-binding agreement has been reached to sell Peak Mining to Elektron Energy for up to $235 million. The proceeds will be used to reduce Tether’s existing loan to Northern Data, with any remaining balance to be retained under revised terms [1]. Rumble will not assume any liability for the loan [2].

Northern Data’s financial performance has shown significant growth, with a 72% revenue increase in the first half of 2025, reaching $109.8 million. This was driven by Taiga Cloud and Peak Mining, the latter of which saw a 49% increase in mining revenue to $62.3 million, attributed to higher Bitcoin prices and increased capacity [1]. Despite the planned divestiture, Rumble has expressed support for a corporate Bitcoin treasury strategy, having accumulated 210.8 BTC, valued at approximately $25.6 million [2].

The proposed acquisition reflects a growing trend of consolidation in the AI and cloud computing sectors, where companies are seeking to scale quickly and secure critical infrastructure to meet surging demand. If completed, the transaction is expected to close in the second half of 2025, pending regulatory approvals and final decisions in the U.S. and Germany [1].

Source: [1] Rumble Announces Intent to Acquire AI Company Northern Data (https://corp.rumble.com/blog/rumble-announces-intent-to-acquire-ai-company-northern-data/)

[2] Rumble announces intention to buy Northern Data (https://finance.yahoo.com/news/rumble-announces-intention-buy-northern-104501406.html)

[5] Rumble Bids $1.17B for Northern Data to Boost AI and Cloud Capabilities (https://www.ainvest.com/news/rumble-bids-1-17b-northern-data-boost-ai-cloud-capabilities-2508/)