Data center developer HIVE Digital tumbles on another exchangeable offering

HIVE Digital Technologies

25/06/2026 15:51

** HIVE Digital Technologies' HIVE.O shares tumble 11.5% to $3.67 on Thurs as it seeks additional capital
** HIVE early Thurs annouced private offering of $100 mln 0% exchangeable notes due 2031
** It intends to use net offering proceeds for general corporate purposes, capital investment, including purchase of graphics processing units, and data center development
** Also may use some proceeds to pay for capped call transactions used to offset potential dilution
** HIVE tapped the capital markets in Apr with an offering of $100 mln 0% exchangeable notes due Apr 15, 2031
** On May 18, HIVE's stock surged nearly 29% after Situational Awareness, a fund run by former OpenAI exec Leopold Aschenbrenner, disclosed a new stake among other AI infrastructure-related names
** With the decline, HIVE shares up 42% YTD and about 90% over the past three months
** 6 analysts rate the stock "buy", 1 other rates "hold"; median PT $7.50, per LSEG data

(Lance Tupper is a Reuters market analyst. The views expressed are his own)
((lance.tupper@tr.com 1-646-279-6380))