Rumble to Acquire Northern Data in $1.165B Stock Deal to Boost AI Infrastructure

Rumble Inc. has announced plans to acquire German AI infrastructure provider Northern Data AG in a stock-for-stock deal valued at approximately $1.165 billion. Under the terms of the proposed transaction, each Northern Data share would be exchanged for 2,319 new Rumble Class A shares, giving Northern Data shareholders a stake of roughly 33.3% in the combined company [1]. Tether, the stablecoin issuer that controls 54% of Northern Data, has endorsed the offer, positioning it to become the largest holder of Rumble’s Class A shares following the deal [2]. The announcement sent Rumble’s stock surging 20% in pre-market trading to $9.48 [3].

The acquisition is expected to significantly expand Rumble’s AI and cloud infrastructure capabilities, combining Northern Data’s Ardent data centers and Taiga GPU services with Rumble’s existing assets. The merged entity would operate more than 20,000 Nvidia GPUs and have access to roughly 850 MW of power capacity, with an additional 180 MW expansion planned in Maysville, Georgia [4]. Rumble emphasized that the integration would focus on global AI cloud services, with a strong commitment to maintaining data privacy and autonomy [5].

A key condition of the deal is the divestiture of Northern Data’s Bitcoin mining unit, Peak Mining, ahead of the acquisition’s completion. Northern Data has reportedly reached a preliminary agreement to sell the mining operation to Elektron Energy for up to $235 million [6]. The proceeds will help settle Tether’s outstanding debt to Northern Data, with the remaining terms adjusted accordingly. Rumble has confirmed it will not assume any liability related to the credit [7].

The deal remains subject to approval by Rumble’s board and the completion of due diligence, with regulatory approvals in the U.S. and Germany also pending. If completed, the acquisition is expected to close in the second half of 2025 [8]. Northern Data’s first-half 2025 revenue reached $109.8 million, driven in part by a 49% increase in mining revenue due to higher Bitcoin output and a recovering price for the cryptocurrency [9]. The integration of these assets is seen as a strategic step to strengthen Rumble’s position in the AI infrastructure market, where competition from major players like AWS and Microsoft Azure is intensifying [10].

Rumble’s decision to pursue the acquisition entirely in stock reflects confidence in its long-term growth potential and aligns with a broader strategy to leverage equity for transformative deals. The company has indicated that maintaining primary voting influence in the combined entity will be a key objective [11]. Analysts describe the move as a high-stakes bet in the rapidly evolving AI infrastructure landscape [12]. With Tether’s backing and the anticipated integration of Northern Data’s GPU resources, Rumble is positioning itself to offer high-performance computing solutions tailored for AI workloads, aiming to become a major player in the AI-as-a-Service market [13].

Source:

[1] [https://coinmarketcap.com/community/articles/6899eb99f03a483a8427dd1a/](https://coinmarketcap.com/community/articles/6899eb99f03a483a8427dd1a/)

[2] [https://fox2now.com/business/press-releases/globenewswire/9509665/rumble-announces-intent-to-acquire-ai-company-northern-data](https://fox2now.com/business/press-releases/globenewswire/9509665/rumble-announces-intent-to-acquire-ai-company-northern-data)

[3] [https://www.ainvest.com/news/rumble-stock-soars-16-24-ai-acquisition-plans-2508/](https://www.ainvest.com/news/rumble-stock-soars-16-24-ai-acquisition-plans-2508/)

[9] [https://www.ainvest.com/news/rumble-strategic-ai-expansion-high-stakes-bet-cloud-infrastructure-dominance-2508/](https://www.ainvest.com/news/rumble-strategic-ai-expansion-high-stakes-bet-cloud-infrastructure-dominance-2508/)

[13] [https://coinpedia.org/crypto-live-news/](https://coinpedia.org/crypto-live-news/)