Ault Alliance to Rebrand as Hyperscale Data, Inc., Effective September 10, 2024

Rhea-AI Summary

Ault Alliance, Inc. (NYSE American: AULT) has announced its rebranding as Hyperscale Data, Inc., effective September 10, 2024. The company will trade under the new ticker symbol "GPUS". This strategic move aims to highlight the company's focus on enhancing its data center operations, particularly its Michigan AI data center. Hyperscale plans to expand this facility from approximately 30 megawatts to 300 megawatts, subject to regulatory approvals and securing adequate financing. The expansion aligns with industry expectations of increased data center power demand driven by AI advancements. Executive Chairman Milton "Todd" Ault III emphasized the company's goal to become a pure-play data center business to maximize stockholder returns.

Positive

• Rebranding to Hyperscale Data, Inc. to focus on data center operations
• Plans to expand Michigan AI data center from 30 MW to 300 MW
• Alignment with industry expectations for increased AI-driven data center demand

Negative

• Expansion plans subject to regulatory approvals and securing adequate financing
• Uncertainty in obtaining necessary financing for expansion

Financial Analyst

The rebranding of Ault Alliance to Hyperscale Data, Inc. signals a strategic pivot towards the high-growth AI data center market. This move aligns with the industry's trajectory, as AI advancements drive unprecedented demand for data center capacity. The planned expansion from 30 MW to 300 MW is ambitious and could position Hyperscale as a significant player in the AI infrastructure space.

However, investors should note the critical caveats: regulatory approvals and adequate financing are not guaranteed. The company's ability to secure these will be important for realizing its growth plans. The emphasis on becoming a "pure-play" data center business suggests potential divestment of non-core assets, which could impact short-term financials but may lead to a more focused, valuable entity in the long run.

While the rebranding shows promise, the lack of concrete financial projections or current operational metrics makes it challenging to quantify the potential impact on shareholder value. Investors should closely monitor future announcements for more tangible indicators of the company's transformation and financial health.

Tech Expert

The rebranding to Hyperscale Data, Inc. reflects a timely recognition of the AI-driven demand surge in data center infrastructure. The planned tenfold expansion of the Michigan facility from 30 MW to 300 MW is ambitious and aligns with the industry's trajectory. However, it's important to understand that power capacity alone doesn't guarantee success in the AI infrastructure market.

Key factors to watch include:

• Cooling efficiency and power usage effectiveness (PUE)
• Network connectivity and latency optimization
• Ability to support high-density AI workloads
• Partnerships with AI hardware providers and cloud platforms

The company's success will depend on its ability to deliver not just raw power, but a comprehensive ecosystem tailored for AI computing needs. Investors should look for details on these technical aspects in future announcements to gauge Hyperscale's competitive positioning in this rapidly evolving market.

LAS VEGAS--(BUSINESS WIRE)-- Ault Alliance, Inc. (NYSE American: AULT), a diversified holding company (“Ault Alliance,” or the “Company”), will rebrand as Hyperscale Data, Inc. (“Hyperscale”) and trade under the new ticker symbol “GPUS” starting September 10, 2024. The Series D Preferred Shares ticker symbol will also change from “AULT PRD” to “GPUS PRD.” Current stockholders do not need to take any action. The rebranding aims to emphasize the Company’s dedication to enhancing its data center operations.

Hyperscale will focus on expanding its flagship Michigan artificial intelligence (“AI”) data center from approximately 30 megawatts (“MWs”) to approximately 300 MWs, subject to the Company’s receipt of regulatory approvals and the securing of adequate financing, which it may or may not obtain. This expansion aligns with industry expectations of increased data center power demand driven by significant AI advancements. Milton “Todd” Ault III, Executive Chairman of the Company, remarked, “Our Michigan facility and expanded services will be pivotal in addressing the escalating demand for AI-driven infrastructure. We are positioning the Company to be as close to a pure-play as possible to deliver the best return possible for our stockholders. Stockholders should expect additional announcements from the Company in the near future about management’s plans to deliver a pure-play data center business in Hyperscale.”

For more information on Ault Alliance and its subsidiaries, Ault Alliance recommends that stockholders, investors, and any other interested parties read Ault Alliance’s public filings and press releases available under the Investor Relations section at www.Ault.com or available at www.sec.gov.

About Ault Alliance, Inc.

Ault Alliance, Inc. is a diversified holding company pursuing growth by acquiring undervalued businesses and disruptive technologies with a global impact. Through its wholly and majority-owned subsidiaries and strategic investments, Ault Alliance owns and operates a data center at which it mines Bitcoin and offers colocation and hosting services for the emerging AI ecosystems and other industries. It also provides mission-critical products that support a diverse range of industries, including a social gaming platform, equipment rental services, defense/aerospace, industrial, automotive, medical/biopharma, hotel operations and textiles. In addition, Ault Alliance is actively engaged in private credit and structured finance through a licensed lending subsidiary. Ault Alliance’s headquarters are located at 11411 Southern Highlands Parkway, Suite 240, Las Vegas, NV 89141; www.Ault.com.

Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements generally include statements that are predictive in nature and depend upon or refer to future events or conditions, and include words such as “believes,” “plans,” “anticipates,” “projects,” “estimates,” “expects,” “intends,” “strategy,” “future,” “opportunity,” “may,” “will,” “should,” “could,” “potential,” or similar expressions. Statements that are not historical facts are forward-looking statements. Forward-looking statements are based on current beliefs and assumptions that are subject to risks and uncertainties.

Forward-looking statements speak only as of the date they are made, and the Company undertakes no obligation to update any of them publicly in light of new information or future events. Actual results could differ materially from those contained in any forward-looking statement as a result of various factors. More information, including potential risk factors, that could affect the Company’s business and financial results are included in the Company’s filings with the U.S. Securities and Exchange Commission, including, but not limited to, the Company’s Forms 10-K, 10-Q and 8- K. All filings are available at www.sec.gov and on the Company’s website at www.Ault.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240909069731/en/

Ault Alliance Investor Contact:

IR@Ault.com or 1-888-753-2235

Source: Ault Alliance, Inc.

FAQ

When will Ault Alliance (AULT) change its name and ticker symbol?

Ault Alliance will rebrand as Hyperscale Data, Inc. and change its ticker symbol to GPUS on September 10, 2024.

What is the planned expansion for Hyperscale Data's Michigan AI data center?

Hyperscale Data plans to expand its Michigan AI data center from approximately 30 megawatts to 300 megawatts, subject to regulatory approvals and financing.

Why is Ault Alliance (AULT) rebranding to Hyperscale Data, Inc.?

The rebranding aims to emphasize the company's dedication to enhancing its data center operations and becoming a pure-play data center business.

What will happen to Ault Alliance's (AULT) current stockholders after the rebranding?

Current stockholders of Ault Alliance do not need to take any action regarding the rebranding to Hyperscale Data, Inc.