Cipher Digital’s stock surged after the company locked in a long-term deal to accelerate its pivot from Bitcoin mining to high-performance computing (HPC) infrastructure.
The publicly traded developer and operator of industrial-scale data centers said Wednesday it signed a 15-year lease to build its third large data center campus, developing a new HPC facility at one of its existing sites. Investors rewarded the move: Cipher’s shares (CIFR) jumped more than 8% from the opening bell to trade around $16.14 per share.
“This agreement for our third large AI campus reinforces Cipher's position as a trusted partner to develop high-quality HPC data center infrastructure for the world's leading companies,” CEO Tyler Page said in a statement.
Cipher also closed a new syndicated revolving credit facility that provides up to $200 million of committed capacity, with an additional $50 million accordion option. The undrawn facility matures in March 2030 and carries interest at SOFR plus 1.25%–1.75%, with step-down pricing tied to the company’s total debt-to-market-cap ratio. CFO Greg Mumford called the financing “a major step in the evolution of our capital structure,” saying it reflects growing confidence from premier financial institutions. Morgan Stanley is the administrative agent, lead arranger and lead bookrunner, joined by Banco Santander, Goldman Sachs, JPMorgan Chase, Sumitomo Mitsui Banking Corporation and Wells Fargo.
The moves follow Cipher’s February rebrand from Cipher Mining as the company pushes beyond a pure Bitcoin-mining identity toward enabling large-scale compute for AI and other HPC workloads. That rebrand coincided with the sale of an ownership interest in three joint mining sites and mining rigs at one location. Cipher emphasized it will keep “optimized exposure to the Bitcoin mining industry in a capital-light manner,” while building out next-generation compute infrastructure.
Cipher’s strategy is part of a broader industry shift: several former or partial Bitcoin-mining operators — including Core Scientific, Cango and Bitfarms (now Keel Infrastructure) — have moved to capture rising demand for AI and other high-performance computing capacity.
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