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

In a strategic move to bolster their presence in the AI infrastructure sector, HIVE Digital and Keel Infrastructure are shifting their focus away from exclusive bitcoin mining. HIVE has successfully raised $115 million through a convertible note offering, which will be utilized to enhance its global data center capacity and GPU capabilities. This expansion is targeted at Tier III data centers across Canada, Sweden, and Paraguay, enabling the company to support a range of workloads, including bitcoin mining, AI, and high-performance computing. The capital injection, combined with measures to mitigate dilution, is designed to accelerate this growth. Meanwhile, Keel Infrastructure has opted to fund its transition by streamlining its operations. The company has sold its 70 MW Paraguay site for approximately $13 million, marking its exit from Latin America. This move follows its rebranding from Bitfarms to Keel Infrastructure. According to CEO Ben Gagnon, this exit is a strategic decision, allowing the company to concentrate on building infrastructure to support the AI economy in North America. The sale proceeds are expected to bring forward two to three years of anticipated cash flow, which will be reinvested in Keel's HPC and AI pipeline. The announcements have resulted in a 7% increase in the shares of both companies.