According to PANews, Northern Data AG is reportedly close to finalizing a deal to sell its cryptocurrency mining division, aiming to capitalize on the recent surge in Bitcoin prices. Elliot Jordan, the company’s Chief Financial Officer, disclosed that Northern Data has engaged bankers to solicit bids and is currently reviewing proposals. During a presentation at the German Equity Forum on Wednesday, Jordan described the process as ‘ongoing,’ noting that the company is receiving offers from various parties and that progress is being made.
Jordan mentioned that Northern Data has not assigned a specific valuation to the business. However, reports suggest that prior to the recent Bitcoin price increase, the division was valued between $300 million and $500 million. He emphasized to investors that the current market conditions present an optimal opportunity for the sale of this business segment.
Northern Data’s primary shareholder is Tether, a stablecoin issuer, which is looking to free up capital to expand its artificial intelligence services. This strategic shift is part of a broader trend among mining companies following a Bitcoin software update in April, which halved their primary revenue source. In October, it was reported that Northern Data planned to sell its cryptocurrency mining unit, Peak Mining.