Bitdeer slides 14% on $1B ATM plan to fund AI expansion

Bitdeer shares fell 14 percent to $9.35 after the Bitcoin miner filed to sell up to $1 billion in stock through an at-the-market program.

The filing, submitted to the SEC on Aug. 10, authorizes sales through 12 appointed agents including Barclays Capital, Cantor Fitzgerald and B. Riley Securities, with commissions of up to 3 percent of gross proceeds. The program carries no minimum offering size, and agents are not obligated to sell a specified number of shares. Transactions may be executed as block trades or directly on the Nasdaq Capital Market.

At the filing's assumed price of $10.88, raising the full $1 billion would require about 91.9 million new shares, equivalent to roughly 40 percent of the 227.4 million Class A shares outstanding at June 30. The company also had 44.4 million Class V shares outstanding.

The equity capacity exceeds twice the remaining $500 million build cost of Bitdeer's Tydal, Norway AI data center campus, which carries a $4.7 billion colocation lease with Volta Tydal AS over a 16-year base term. The stock opened 8.1 percent lower following the earnings release and extended its decline after the prospectus was submitted.

The Tydal agreement, announced Aug. 4 through subsidiary Tydal Data Center AS, covers 121 IT MW of contracted critical load across four data halls, with Phase 1 targeting commencement Dec. 31, 2026, and Phase 2 on March 31, 2027. The lease carries a 16-year average rate of approximately $202 per kilowatt per month, with electricity costs fully reimbursed by the tenant and an estimated NOI margin of about 90 percent. A tenant renewal option extends the term by eight years, raising the potential total contract value to approximately $8 billion over 24 years.

Volta's obligations are backed by letters of credit arranged by affiliates of J.P. Morgan and another top-tier global financial institution, totaling approximately $1.3 billion. Bitdeer retains 100 percent ownership of the Tydal campus and issued no equity securities or warrants as part of the transaction.

The ATM program follows Bitdeer's broader pivot from pure Bitcoin mining toward AI compute infrastructure, with the company deploying NVIDIA GPU infrastructure at its data centers. The remaining capex for Tydal is approximately $500 million, or about $4.0 million per IT MW for 121 MW of critical IT power.

The dilution pressure reflects investor concern about the scale of equity issuance needed to fund Bitdeer's AI infrastructure ambitions. The next test is Phase 1 commencement at Tydal, targeted for Dec. 31, 2026, which will show whether the company can execute on its AI data center buildout. If successful, the Tydal campus could generate average annual revenue of $2.4 million per IT MW over the 16-year lease term.

This article is for informational purposes only and does not constitute investment advice.