Cipher Digital stock rises 9% on new data center deal with Hyperscale tenant
The new 15-year hyperscale lease and $200 million in financing underscore the push into AI data centers.
What to know:
— Cipher Digital (CIFR) rose 9% in pre-market trading after the former crypto mining company said it signed a 15-year lease with a hyperscale tenant to develop its third high-performance computing data center campus.
— The company also secured a revolving credit facility of up to $200 million, with an additional $50 million option to support expansion and enhance liquidity.
In this article
Cipher Digital (CIFR) shares jumped 9% in pre-market trading after the company, formerly a bitcoin miner, announced a new long-term data center lease and said it secured a $200 million revolving credit facility.
The company revealed a 15-year lease agreement with an investment-grade hyperscale tenant for its third data center campus. Cipher will develop and deliver a high-performance computing facility at an existing site, strengthening its position as a partner to large technology firms building AI infrastructure.
Cipher also announced a revolving credit facility of up to $200 million, with an additional $50 million accordion option. Backed by a syndicate of leading global banks, the facility provides non-dilutive capital to support expansion, boost liquidity, and fund future growth initiatives.
Cipher Digital, formerly known as Cipher Mining, has rebranded to reflect a strategic pivot away from bitcoin production toward the development of industrial-scale data centers for AI and cloud workloads. The move aligns the company with the rapidly growing demand for high-performance computing capacity.