HIVE and Keel Boost AI Data Center Presence with New Funding and Asset Sale

HIVE Digital and Keel Infrastructure are intensifying their focus on artificial intelligence infrastructure, marking a significant shift in the sector beyond bitcoin mining. HIVE has raised $115 million through a convertible note offering to expand its global data center presence and increase GPU capacity. The company is concentrating on developing Tier III data centers in Canada, Sweden, and Paraguay, which will support bitcoin mining, AI, and high-performance computing workloads. To mitigate dilution, the capital raise includes capped call protection, aiming to accelerate the expansion. Meanwhile, Keel is streamlining its operations by selling its 70 MW site in Paraguay for approximately $13 million, below initial expectations, due to declining bitcoin mining economics. This move completes Keel's exit from Latin America, following its rebranding from Bitfarms. According to CEO Ben Gagnon, the sale represents a 'clean exit' from Latin America, allowing the company to focus on building infrastructure for the AI economy in North America. The proceeds from the sale will be reinvested in Keel's HPC and AI pipeline, effectively bringing forward two to three years of anticipated cash flow. Both companies' shares have risen by approximately 7% following the announcements.