Mining companies HIVE Digital (HIVE) and Keel Infrastructure (KEEL) are working to strengthen their artificial intelligence (AI) infrastructure, continuing the theme of a broader sector-wide transition away from solely Bitcoin mining.
In an announcement on Wednesday, HIVE raised $115 million through an interest-free convertible note offering, with the proceeds going to expand its global data center footprint and GPU capacity.
The company is increasingly leaning toward Tier III data centers in Canada, Sweden, and Paraguay to accommodate both Bitcoin mining, AI, and high performance computing (HPC) workloads. The capital raise is aimed at accelerating its ramp-up, combined with capped call protection to limit dilution.
Meanwhile, Kiel is financing the transition by downsizing. The company has completed the sale of a 70MW Paraguayan site for approximately $13 million, lower than originally expected, citing deteriorating economic conditions for Bitcoin mining. The move follows the company’s final decision to exit Latin America and its recent rebranding from Bitfarms to Keel Infrastructure.
“This is a clean exit from Latin America,” CEO Ben Gagnon said. “We are focused and committed to building the infrastructure backbone that supports North America’s AI economy.”
Gagnon added that the proceeds effectively brought forward expected cash flow by “two to three years” and will redeploy it to Keel’s HPC and AI pipeline going forward.
Shares of both companies rose about 7% following the announcement.
