Bitdeer Lands $4.7 Billion AI Deal as Shares Surge 12%

Bitdeer has signed a 16-year agreement to provide 121 megawatts of AI computing capacity at its Tydal campus in Norway. The contract could generate as much as $8 billion if an eight-year extension is exercised.

Bitdeer Technologies shares surged 12% on Tuesday, Aug. 4, after the bitcoin miner turned AI infrastructure provider announced a long-term data center agreement valued at about $4.7 billion.

The project will deliver 121 megawatts of IT capacity, supported by about 133 MW of total power. All of the contracted computing load will be configured for Nvidia graphics processing units, with Dell Technologies serving as the equipment provider.

The initial agreement runs for 16 years. An eight-year renewal option could lift the total contract value to roughly $8 billion over 24 years. However, the tenant has the right to end the agreement without a fee after 10 years.

“This agreement is a key milestone in Bitdeer’s evolution as a global AI infrastructure platform,” Chief Financial Officer Michael Potter said.

The campus will be delivered in two equal phases across four data halls. The first phase is scheduled to begin operations by Dec. 31, 2026, followed by the second on March 31, 2027.

Bitdeer is also developing two additional halls with 47 MW of gross capacity for future AI and high-performance computing workloads during the second half of 2027.

The lease carries an average payment of about $202 per kilowatt each month over the initial term. Electricity costs will be reimbursed by the tenant, while lease and services payments will rise 3% annually.

Bitdeer expects average yearly revenue of $2.4 million per IT megawatt and a net operating income margin of about 90%.

Volta’s obligations are expected to be supported by approximately $1.3 billion in letters of credit arranged by affiliates of JPMorgan and another major financial institution. Bitdeer can terminate the agreement if required credit milestones are not met.