US-based video platform and cloud services provider Rumble is considering offering approximately $1.17 billion (€1 billion) for German AI cloud firm Northern Data (NB2.DE). Both companies have made statements on the matter.
Rumble announced that it plans to acquire Northern Data’s GPU-intensive cloud unit Taiga and its large-scale data center arm Ardent, and aims to integrate both units into its operations.
Taiga has a full inventory of Nvidia GPU chips, housing 20,480 H100 chips and over 2,000 H200 chips.Northern Data stated that they are evaluating Rumble’s potential offer and are open to further discussions. The offer envisages providing 2,319 Rumble shares for each Northern Data share. This offer values the company’s shares at approximately $18.3, representing a 32% discount. The total deal is valued at approximately $1.17 billion, and if the deal goes through, Northern Data shareholders will own 33.3% of Rumble. Tether, as the main shareholder of Northern Data, has announced its support for the deal. The offer is reportedly conditional on the sale of Northern Data’s crypto mining unit and the use of the proceeds from this sale to reduce Tether’s existing loans.
Rumble stated that, once the deal is complete, Tether will become a significant GPU customer and will commit to a multi-year purchase agreement. However, there is no certainty that a formal offer will be made.
