Bitfarms Sells Paraguay Data Center for $85 Million, Strengthening North American Focus
Bitfarms completes the sale of its 200 MW data center in Paraguay to HIVE Digital Technologies for $85 million, aligning with its shift to North American operations. The transaction will reduce 2025 capex requirements and lower average power costs by 10%, with proceeds reinvested in a 1.1 GW U.S. growth pipeline for Bitcoin and HPC/AI infrastructure.
Bitfarms Ltd. has finalized the sale of its 200 MW data center located in Yguazu, Paraguay, to HIVE Digital Technologies for an approximate value of $85 million. This strategic decision marks Bitfarms’ shift from being an international Bitcoin mining firm to focusing on North American energy and computational infrastructure.
The transaction is projected to yield several significant outcomes: a reduction in capital expenditure requirements for 2025, an estimated 10% decrease in average power costs, and a strategic rebalancing of the company’s operations to approximately 80% North American and 20% international by the end of 2025. The proceeds from this sale will be reinvested in Bitfarms’ 1.1 GW growth pipeline for Bitcoin mining and high-performance computing (HPC) and artificial intelligence (AI) infrastructure.
This sale, which is deemed accretive, allows Bitfarms to streamline its operations while enhancing its focus on North American markets. According to CEO Ben Gagnon, this sale facilitates a smoother operational flow and the reallocation towards the North American energy portfolio. CFO Jeff Lucas emphasized that the proceeds are expected to significantly lower the company’s 2025 capital expenditure requirements.
Bitfarms Ltd. has successfully divested its Paraguay data center as part of a broader shift toward a North American operational strategy. The sale is anticipated to positively impact the company’s cost structure and future growth potential. By reallocating resources, Bitfarms aims to bolster its investment in domestic Bitcoin mining and AI-related infrastructure, reinforcing its commitment to sustainable energy use. This strategic transition positions Bitfarms for enhanced operational efficiency and profitability moving forward.
Original Source: www.stocktitan.net
