Tether-backed Northern Data receives acquisition offer for its crypto mining unit

Northern Data AG is close to reaching a deal to sell its cryptocurrency mining business, hoping to take advantage of the rise in Bitcoin in November. Elliot Jordan, CFO of Northern Data, said the company has hired bankers and invited bidders to submit bids, and is currently reviewing proposals. Jordan said in a speech at a German equity forum on Wednesday: "The most appropriate way to describe it is 'in progress', and we are receiving proposals from various different aspects, and progress is smooth." Jordan said that Northern Data did not value the business, but according to reports, the valuation before the Bitcoin rally was $300 million to $500 million. He told investors: "Obviously, now is the best time to sell this business."

The main shareholder of Northern Data is Tether, a stablecoin issuer that is seeking to release funds to expand its artificial intelligence service business. This is a transformation that many mining companies are exploring after the Bitcoin software update in April, which halved their main source of income.

In October, Northern Data announced plans to sell its cryptocurrency mining department, Peak Mining.