Tether and Rumble announced they plan to jointly buy all shares of Northern Data, giving them full control of the AI infrastructure firm.
In a Monday update, Rumble said the proposal would build on Northern Data’s current AI and high-performance computing (HPC) business. Tether, the issuer of the USDT stablecoin and already Northern Data’s largest shareholder, would support the deal. Tether has also signaled future collaborations in AI, peer-to-peer communications, and data storage.
Tether links the deal
Tether is the key link in this potential deal. It invested $775 million in Rumble in late 2024, and the two companies deepened ties in May when Rumble launched a Bitcoin and stablecoin wallet that supports USDT. Northern Data runs three units: Taiga Cloud (GPU cloud services), Ardent Data Center (infrastructure), and Peak Mining (Bitcoin mining). The company has said it plans to sell Peak Mining and reinvest the proceeds into AI and HPC. If the transaction goes ahead, each Northern Data share would be exchanged for 2.319 new Rumble Class A shares, leaving Northern Data shareholders with about 33.3% of Rumble.
Rumble’s $7.88 close pegs Northern Data at $1.17B
Based on Rumble’s Friday close at $7.88, the bid values Northern Data at $18.27 per share, or about $1.17 billion in total.
The terms could change if Peak Mining (Northern Data’s Bitcoin unit) is sold. If the deal closes, Tether is expected to become the largest holder of Rumble’s Class A shares.
Tether also plans to amend its loan to Northern Data to give the combined business more financial flexibility. It previously provided €575 million (about $610 million) in debt financing in late 2023.