Street Calls of the Week
TORONTO - HIVE Digital Technologies Ltd. (TSXV:HIVE) (NASDAQ:HIVE), a technology company with a market capitalization of $903 million and showing impressive momentum with a 24% gain last week, announced Wednesday it has acquired a 7.2 megawatt data center in Toronto through its subsidiary BUZZ High Performance Computing.
The facility will be upgraded from Tier 1 to Tier 3 standards to support high-performance computing and artificial intelligence workloads, according to a company press release. InvestingPro analysis reveals the company maintains strong liquidity with a current ratio of 3.42, though it faces challenges with cash burn rates.
HIVE paid CAD$12 million and issued 1 million common shares at a deemed price of CAD$5.25 per share, bringing the total acquisition value to CAD$17.25 million. The shares issued are subject to a four-month hold period, and the transaction requires TSX Venture Exchange approval.
The acquisition follows BUZZ’s recently announced partnership with Bell Canada on August 19, expanding HIVE’s footprint in the Canadian digital infrastructure market.
"By transforming former Bitcoin mining facilities into Tier 3, AI-ready infrastructure, we are capitalizing on one of the most exciting opportunities in the digital economy," said Frank Holmes, Executive Chairman of HIVE, in the press release statement.
The company reports its dual growth strategy includes both Bitcoin mining, where it reached 18 exahashes per second on September 2 with plans to reach 25 EH/s by year-end, and expanding its high-performance computing capabilities through BUZZ’s data centers.
HIVE Digital Technologies, established in 2017, describes itself as a pioneer in green digital infrastructure that has evolved into a diversified technology company focused on Bitcoin mining and high-performance computing.
In other recent news, HIVE Digital Technologies Ltd. reported a 22% increase in Bitcoin production for August 2025, mining 247 BTC compared to 203 BTC in July. The company achieved an average daily production of 8 BTC with an average hashrate of 16.3 EH/s, peaking at 18.1 EH/s. Additionally, HIVE Digital announced that it completed Phase 2 of its Yguazú facility ahead of schedule, exceeding 18 exahash per second of global Bitcoin mining capacity. The operations in Paraguay are powered by renewable hydroelectric energy from the Itaipú Dam. In terms of analyst opinions, Keefe, Bruyette & Woods reiterated an Outperform rating on HIVE Digital stock, maintaining a price target of $11.00. This rating was supported by the company’s first quarter fiscal 2026 results, which showed sequential improvements in revenue and wider margins. These developments highlight HIVE Digital’s ongoing efforts in expanding its mining capacity and enhancing operational efficiency.
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