Northern Data AG Eyes $16B Nasdaq IPO for AI and Cloud Units

Exciting news from Northern Data AG! German Bitcoin miner Northern Data AG is planning an initial public offering (IPO) for its cloud computing and data center businesses, aiming for a valuation of up to $16 billion, according to a Bloomberg report. 

Read on to see why this could be a game-changer for Northern Data, and potentially the entire industry.

Splitting the Business: Taiga and Ardent

As per the report, the company plans to list its “Taiga” and “Ardent” as two separate entities on the Nasdaq in the first half of 2025. Sources familiar with the matter said Northern Data, Europe’s largest Bitcoin miner by market cap, has been consulting with advisers about the IPO. Even though the firm has not officially announced the offering plans, Northern Data’s IPO valuation is estimated to be between $10 billion and $16 billion. The company might sell a minority stake to investors before going public.

Northern Data’s Bitcoin mining division, Peak Mining, might also see a separate listing. Despite considering an IPO for its cryptocurrency mining business in the U.S. back in February 2021, the company has yet to move forward with those plans.

Expansion into AI

Facing narrowing profit margins in Bitcoin mining, Northern Data has expanded into the AI sector. This strategic shift mirrors moves by other Bitcoin miners like Core Scientific, TeraWulf, and Hut 8 Corp. In November 2023, Northern Data secured $610 million in debt financing from Tether to bolster its mining and AI ventures.

A Look Back: Northern Data’s Journey

Founded in 2009 as Northern Bitcoin AG, Northern Data now operates three business divisions: Taiga, Ardent, and Peak Mining. Peak Mining, its U.S.-based Bitcoin mining unit, runs high-performance computing data centers. After initially focusing on Ethereum network mining, Northern Data has since refocused on Bitcoin mining.

Implications

Northern Data’s IPO represents a significant advancement in the AI and cloud computing sectors. This move could create new opportunities for other companies to invest in these rapidly growing fields.

Northern Data AG’s ambitious plans highlight its evolution from a Bitcoin mining company to a significant player in the AI and cloud computing industries, paving the way for future innovations and investments.

Cloud, AI, and Bitcoin: Winning combo or risky bet? Let us know what you think!