Tether-Backed Rumble Plans $1.17 Billion Acquisition of High-Performance Computing Solutions Provider Northern Data

BlockBeats News, August 11th, according to The Block, the well-known video sharing platform and cloud service provider Rumble announced on Monday that it plans to acquire Bitcoin miner and high-performance computing expert Northern Data in a potential transaction worth 1 billion euros (1.17 billion US dollars).

Under the an all-stock transaction scheme, Northern Data shareholders will receive 2.319 shares of newly issued Rumble Class A stock per share of Northern Data—if all shares are delivered, Northern Data shareholders will collectively hold approximately 33.3% of Rumble's equity. As the controlling shareholder holding 54% of Northern Data, stablecoin giant Tether has expressed support for the transaction and committed to signing a multi-year GPU purchase agreement after the transaction is completed. Calculated at the same exchange ratio, Tether will become the largest single shareholder of Rumble Class A common stock.

In December 2023, the world's largest stablecoin issuer Tether injected $775 million into Rumble to support the development of this YouTube alternative platform. Rumble emphasized in a statement: "The merged entity will not only strengthen its leadership position in the field of artificial intelligence, but also promote data privacy and independence globally."

In another press release, Northern Data confirmed that it has received a potential stock swap offer and expressed willingness to engage in further negotiations with Rumble on the transaction. Rumble's Chairman and CEO, Chris Pavlovski, will continue to hold the majority voting rights of the company, has publicly endorsed the acquisition offer, and has pledged to cast all affirmative votes.

The financial report for the first half of 2025 released by Northern Data on Monday showed strong growth: revenue soared 72% year-on-year to 94.3 million euros (109.8 million US dollars), with outstanding performance in the Taiga cloud service and Peak mining sectors. Benefiting from the expansion of mining power and the rise in Bitcoin prices, mining revenue increased by 49% year-on-year to 53.5 million euros (62.3 million US dollars).

According to rockflow data, stimulated by this news, Rumble's stock price surged 20% in pre-market trading on Monday, now trading at $9.48.