In a deal worth approximately $1.5 billion, MARA Holdings has entered into an agreement to purchase Long Ridge Energy & Power. As part of the transaction, MARA will assume a minimum of $785 million in debt, secured by a bridge loan. Following the announcement, FTAI Infrastructure, the seller, saw a 12% increase in pre-market trading, while MARA's stock rose by 3%. The acquisition encompasses Long Ridge's 505-megawatt gas-fired power plant in Hannibal, Ohio, along with over 1,600 acres of land, water access, fiber connections, fuel supply, and grid connections.
According to MARA, the site has the potential to support more than 1 gigawatt of power capacity. This acquisition is expected to increase MARA's owned and operated power capacity by around 65% and expand its development pipeline to approximately 2.2 gigawatts across various markets, including PJM, ERCOT, SPP, and international markets.
Construction on the initial AI and critical IT infrastructure is slated to commence in the first half of 2027, with the first phase of capacity expected to be operational by mid-2028. MARA has assured that the current power supply to the PJM grid will not be disrupted. The Long Ridge assets are anticipated to generate around $144 million in annualized adjusted EBITDA, with the deal expected to close in the second half of 2026.