European mining giant Northern Data is planning to go public on Nasdaq in 2025, with an estimated valuation of up to $16 billion.

Bloomberg reported that German Bitcoin mining and cloud computing company Northern Data plans to spin off its "cloud computing" and "data center" businesses into separate entities and list them on the Nasdaq stock exchange in the first half of 2025. It is rumored that the valuation proposed by relevant banks for the company ranges between $10 billion and $16 billion.

Miner Northern Data Interested in IPO in the US

Bloomberg reported that Northern Data, a German data center operator specializing in high-performance computing solutions, is planning to conduct its initial public offering (IPO) on the Nasdaq stock exchange in the first half of 2025:

Senior executives at Northern Data have contacted several institutions as bidding advisors and are in discussions with professionals.

According to current plans, Northern Data expects to list its cloud computing company "Taiga," data center company "Ardent," and Bitcoin mining company "Peak Mining" on Nasdaq, with the former two merging into one entity alongside the latter.

Sources indicated that banks suggested a business valuation between $10 billion and $16 billion.

However, caution is advised as discussions are ongoing, and the IPO plans may change or be canceled.

Back in 2021, Northern Data had revealed plans for its cryptocurrency mining business to be listed in the US through an IPO, initially led by Credit Suisse, now taken over by UBS, but the plans did not materialize.

NB2.DE Surges by 33%

Following the announcement, Northern Data's stock NB2.DE surged by 24.4% within a day and a half, with an additional significant increase of 19.6% today, bringing the company's current market value to approximately $1.58 billion.

In November last year, Northern Data had also secured an unsecured debt financing of €575 million (approximately $623 million) from stablecoin issuer Tether to drive the expansion of its mining and AI businesses.

Tether Provides €575 Million Unsecured Debt Financing! Strategic Investment in Northern Data

Diversification of Miner Business

With the impact of the Bitcoin halving event, miners' profitability in this already saturated industry has been significantly squeezed in the past two months.

In response, major miners have diversified their businesses by taking on high-performance computing (HPC) projects or becoming GPU hosting providers to develop new sources of revenue.

JPMorgan: Taking on High-Performance Computing Projects to Attract Mining Investors' Interest

Northern Data is no exception, actively promoting advancements in the AI and machine learning fields through the launch of an AI accelerator and a generative AI platform.

The company's CEO, Aroosh Thillinathan, had stated at last month's HPE Discover 2024:

As a partner of NVIDIA, we are ready to support users' infrastructure needs and turn their ideas into reality.

Other players entering the AI field include Core Scientific and Hut 8, among others, to address the challenges of reduced profits for miners.

Hut 8 Receives $150 Million Investment to Accelerate the Construction of AI Infrastructure Platform