Sphere 3D pivots to AI infrastructure with $10 million asset sale
Sphere 3D Corp. announced a strategic shift toward AI and HPC data centers, backed by a $5 million capital raise and asset liquidations.
Sphere 3D Corp., operating as DarkHorse Technologies, completed a 90-day strategic review that redirects its capital toward artificial intelligence and high-performance computing infrastructure. The company secured a $5 million private placement and agreed to sell non-core assets, generating approximately $10 million in gross proceeds and recoveries before expenses.
Shares of the NASDAQ-listed company, which trades under the ticker ANY, closed Tuesday at $2.45, up 5.6%, before rising another 12.65% in after-hours trading to nearly $2.76. This price movement followed the announcement of a focused development roadmap targeting the Tennessee Valley Authority region, according to reports from GN stocks/nasdaq.
Asset sales fund strategic pivot
To finance the transition, Sphere 3D agreed to sell its Iowa site for $1.5 million. The company also expects to recover approximately $500,000 in utility deposits and prepayments associated with that location. Additionally, the firm is selling approximately 5,500 legacy mining machines for about $3 million, a move that clears legacy hardware to free up balance sheet space for new infrastructure.
Hopkinsville site expansion proposal
A central component of the new strategy is the expansion in Hopkinsville, Kentucky. Sphere 3D secured an option on approximately 20 acres and proposed a new 50 MW data center supported by a 65 MW substation. The company is also evaluating the conversion of its existing 15 MW operation in the same area to handle AI and HPC workloads, though these plans remain subject to regulatory approvals.
Portfolio capacity and partner agreements
Following the Iowa divestiture, Sphere 3D expects to own or operate approximately 50 MW of energized capacity across four sites in Tennessee and Kentucky. This excludes the proposed new Hopkinsville development. The company’s agreements with Bitdeer Technologies Group are structured to preserve the ability to redeploy capacity toward AI and HPC workloads, aligning its power portfolio with growing demand for GPU infrastructure.
