HIVE Lines Up Swedish AI Lease as It Seeks $100 Million Note Offering
HIVE Digital (NASDAQ: HIVE) is moving to line up a long-term customer for its planned AI data center retrofit in northern Sweden while seeking to raise as much as $115 million through a zero-coupon exchangeable note offering to fund GPU purchases and data center development.
The Canadian bitcoin miner and AI infrastructure developer said Thursday it signed a non-binding letter of intent with an unnamed investment-grade Swedish technology company for a lease of up to 10 years at HIVE’s 32-megawatt facility in Boden, Sweden.
The LOI contemplates about 25 MW of usable critical IT load for high-performance computing colocation. HIVE said it expects to retrofit the site to support as many as 10,000 Nvidia GB300 GPUs, with rack densities of up to 150 kilowatts, using a mix of direct-to-chip liquid cooling and air cooling.
The announcement comes a week after HIVE said the Boden Municipal Council had approved the company’s acquisition of the facility from Bodens Utvecklings AB. HIVE has operated at the site since 2018, initially as part of its GPU-focused digital asset mining business, including Ethereum mining before the network’s transition away from proof-of-work.
The latest LOI marks another step in HIVE’s shift from bitcoin mining toward AI and high-performance computing infrastructure, a strategy increasingly pursued by public miners that own large power portfolios and data center sites. The Boden project would convert a legacy Nordic mining facility into a liquid-cooled GPU colocation site designed around Nvidia’s GB300 NVL72 architecture.
HIVE said the potential Swedish customer selected the site after technical diligence and site visits. The company did not disclose expected revenue from the arrangement, saying only that it anticipates the project could generate “significant annual recurring revenue” if a definitive agreement is reached.
The LOI remains non-binding and is subject to further negotiations, including the execution of a definitive lease agreement.
Separately, HIVE said a wholly owned subsidiary, HIVE Bermuda 2026 Ltd., intends to offer $100 million of 0% exchangeable senior notes due 2031 in a private placement to qualified institutional buyers. The initial purchasers are expected to receive an option to buy up to an additional $15 million of notes within 13 days of issuance.
The notes will not bear regular interest and the principal amount will not accrete. They will be general unsecured obligations of the issuer and fully and unconditionally guaranteed by HIVE on a senior unsecured basis.
HIVE said proceeds will be used to fund subsidiaries or make capital contributions for general corporate purposes, capital investment, including GPU purchases, and data center development. The company also expects to enter into cash-settled capped call transactions, which are commonly used in convertible or exchangeable note offerings to reduce potential dilution or offset cash payments above the initial exchange price up to a capped level.
The financing plan comes as HIVE has been trying to scale beyond its legacy bitcoin mining business into sovereign AI and GPU infrastructure. Earlier this month, the company announced an AI infrastructure arrangement involving Bell Canada and Cohere through its BUZZ High Performance Computing subsidiary.
