Bitcoin mining company Northern Data AG plans to raise $233 million by issuing new shares

ChainCatcher news, according to Bitcoin.com, German Bitcoin mining company and data center operator Northern Data AG has announced a capital increase plan. With the approval of the supervisory board, the company will issue 10.7 million new shares, accounting for 20% of its existing share capital. These shares will be sold at a price of 20 euros per share, slightly above the market average price.

This move is expected to generate 214 million euros in revenue, which will be invested in NVIDIA GPUs and infrastructure to support generative artificial intelligence (AI) innovations. The company's goal is to enhance its cloud platform and expand its data centers in Europe and the United States.

The capital increase will be carried out in two steps to ensure the participation of major shareholders. Initially, Tether Investments Ltd. and an entity owned by CEO Aroosh Thillainathan will subscribe for shares proportional to their current holdings. The remaining shares will be distributed proportionally to other major shareholders.