Canaan Acquires Cipher Mining’s 49% Stake in Texas Mining Services

Bitcoin mining {hardware} maker Canaan has bought Cipher Mining’s 49% curiosity in a trio of Texas mining initiatives for $39.75 million, increasing its mining pursuits.

The transaction covers three way partnership entities Alborz LLC, Bear LLC and Chief Mountain LLC, collectively often called the “ABC Tasks,” accordingly that is a Monday announcement. After the deal, Canaan holds a 49% stake whereas associate WindHQ, a renewable power infrastructure firm, retains 51%.

“By growing our publicity to high-quality, low-cost operational energy belongings in Texas, we’re aligning our proprietary expertise with essential infrastructure to drive long-term effectivity and scale,” stated Nangeng Zhang, chairman and chief govt officer of Canaan.

The three amenities are already operational, with a mixed 120 megawatts of energy capability and about 4.4 exahashes per second (EH/s) of hashrate. Canaan additionally acquired 6,840 Avalon A15Pro mining rigs from Cipher. These machines had been beforehand deployed at Cipher’s Black Pearl location, which is being transformed into a man-made intelligence and high-performance computing (AI-HPC) information heart.

Associated: Bitcoin mining problem rebounds 15% as US miners get well from winter outages

Canaan funds cope with $40 million share issuance

The acquisition was financed by way of shares. Canaan issued 806,439,900 Class A shares, equal to 53,762,660 American Depositary Shares (ADS), priced at $0.7394 per ADS and topic to a six-month lockup.

Based on the announcement, the Texas websites profit from electrical energy prices beneath $0.03 per kilowatt-hour and embody wind-powered era and grid demand-response capabilities inside the ERCOT energy market. “ABC Tasks characteristic industry-leading energy pricing and supply a powerful basis for progress,” Zhang added.

Canaan reported a powerful fourth quarter of 2025, with income rising 121.1% year-on-year to $196.3 million, as {hardware} shipments and mining output improved. Bitcoin (BTC) mining income climbed 98.5% to $30.4 million, growing its treasury to 1,750 BTC. It shipped a document 14.6 EH/s of computing energy and expanded put in hashrate to 9.91 EH/s, supported by a big institutional order in america.

Associated: Bitcoin miners chase 30 GW AI capability to offset hashprice strain

Bitcoin miners flip to AI as margins tighten

Bitcoin mining firms are more and more branching into AI and cloud computing as profitability pressures mount. Final week, MARA Holdings acquired a 64% stake within the French infrastructure firm Exaion, giving the corporate a foothold in AI providers.

The transfer got here amid a broader {industry} pattern. Firms together with Hive, Hut 8, TeraWulf and Iren are changing mining amenities and energy capability into data-center operations, and a few gamers resembling CoreWeave have already totally transitioned into AI infrastructure.