Greenidge Rebrands as Vulcan After $39.4M Raise to Fund AI Data Center Pivot
Greenidge Generation Holdings is rebranding as Vulcan Infrastructure and Power as part of a $39.4 million strategic investment designed to retire its near-term debt and accelerate its shift from bitcoin mining toward power and AI data center infrastructure.
The company’s Class A shares are expected to begin trading on Nasdaq under the new ticker “VIP” on or about July 24, replacing “GREE,” according to a statement Monday. The transaction brings in affiliates of Machine Investment Group and Atlas Holdings, as well as Conversant Capital, company insiders and other investors.
Vulcan plans to use the net proceeds to redeem the remaining approximately $33 million principal amount of its 8.5% senior unsecured notes due in October. Any proceeds left after the redemption will be available for general corporate purposes.
The financing would remove a looming maturity that has weighed on the company while providing capital to begin developing its existing portfolio of powered properties. Vulcan said it controls 104 megawatts of energized capacity and has identified 654 MW of total development opportunities across its owned sites, including more than 100 MW that could be commercialized for AI and high-performance computing in the near term.
The rebranding marks Greenidge’s latest and most explicit move away from its historical identity as a vertically integrated bitcoin miner. The company plans to reposition itself as a publicly traded platform that acquires, develops and operates power-generation assets, powered land and legacy data centers.
Vulcan said it expects its facilities to serve both digital infrastructure customers and the local electrical grids where they operate. The strategy seeks to capitalize on growing demand for sites that already have access to power, a resource that has become one of the largest constraints on new AI data center construction.
Investment includes common stock, convertible debt and warrants
The financing includes approximately $29.3 million from the sale of 17.15 million Class A shares at $1.71 apiece, equal to Greenidge’s closing share price on July 17.
Machine Investment Group will invest $15 million in total. It will receive about 2.92 million common shares, a $10 million senior secured convertible note and a three-year warrant covering approximately 1.75 million additional shares at an exercise price of $1.71.
The convertible note carries a 10% interest rate and can be converted into common shares at $2.13 apiece, a 25% premium to the PIPE price. Full conversion would result in the issuance of approximately 4.69 million additional shares.
Atlas will purchase about 2.92 million shares for $5 million, while Conversant will invest $5.95 million for approximately 3.48 million shares. Other investors, including Vulcan’s chief executive officer, chief financial officer, president and a board member, will collectively invest $13.37 million for about 7.82 million shares.
The stock, conversion shares and warrant shares could produce substantial dilution for existing shareholders if the transaction closes and the convertible note and warrant are fully exercised.
Machine’s note will be secured in part by collateral related to the company’s Mississippi property, including a pledge of equity interests in the entity that owns the site, according to the SEC filing. Vulcan also agreed to reimburse Machine for as much as $350,000 of documented transaction expenses.
New investors bring power and data center experience
The investor group gives Vulcan access to expertise and capital relationships spanning power generation, industrial real estate and data center development.
Atlas manages about $18.1 billion across more than 30 portfolio companies and approximately 300 industrial facilities. Its businesses manage roughly 5 gigawatts of merchant power generation in the US, according to the announcement.
Machine and its principals have deployed approximately $2.5 billion of equity and have experience developing hyperscale data center properties. The firm currently has about 700 MW under development and a prospective pipeline exceeding 1 GW.
Conversant manages approximately $2.8 billion and has invested across digital infrastructure, real estate and power-related assets.
Chief Executive Officer Jordan Kovler said the financing would allow Vulcan to eliminate debt while more aggressively pursuing data center infrastructure opportunities.
The strategy places the former bitcoin miner alongside a growing group of power-intensive computing companies seeking to convert existing electrical capacity into AI and HPC infrastructure. Vulcan’s ability to execute the transition will depend on securing data center customers, obtaining development capital and completing the construction and interconnection work required to turn its powered properties into commercially operational capacity.
