Northern Data AG, a German company specializing in Bitcoin mining and cloud computing, is reportedly planning an initial public offering (IPO) for two of its subsidiaries in the United States, aiming for a valuation as high as $16 billion. According to a report from Bloomberg on July 1, sources familiar with the matter revealed that Northern Data, Europe’s largest Bitcoin miner by market capitalization, has engaged with several advisors to explore the IPO option. The company targets a potential listing in the first half of 2025.
Under the current strategy, Northern Data plans to list its cloud computing and data center arms, known as “Taiga” and “Ardent,” respectively, on the Nasdaq stock exchange. Additionally, there is a possibility of a separate listing for its Bitcoin mining business, Peak Mining, which the company had previously discussed with analysts and investors in November.
Northern Data had previously considered a U.S. IPO for its cryptocurrency mining operations back in February 2021, although those plans did not materialize. Sources indicated that banks have proposed a valuation ranging from $10 billion to $16 billion, but discussions are ongoing, and the company may decide to change its plans or cancel the IPO altogether.
Northern Data, originally founded as Northern Bitcoin AG in Germany in 2009, has evolved into a diversified company with three primary divisions: Taiga, Ardent, and Peak Mining. Peak Mining, based in the U.S., is focused on Bitcoin mining and is currently developing 700 megawatts of high-performance computing data centers, expected to achieve up to 40 exahashes of processing power.
Previously, Peak Mining had operations on the Ethereum network before shifting from proof-of-work to proof-of-stake in September 2022, subsequently refocusing on Bitcoin. This strategic shift aligns with Northern Data’s broader business strategy amid evolving market conditions.
Northern Data is among several Bitcoin mining firms diversifying into artificial intelligence (AI) to maintain profitability, as margins in the mining sector become increasingly competitive. Other companies following a similar trajectory include Core Scientific, TeraWulf, and Hut 8 Corp.
In November 2023, Northern Data secured $610 million in debt financing from stablecoin issuer Tether to support investments in its mining and AI ventures. The company continues to expand its operations globally, combining its expertise in blockchain technology with advancements in AI and cloud computing.
Northern Data AG did not immediately respond to requests for comment from Cointelegraph regarding these developments.