Cipher Mining Announces $50 Million PIPE Investment from SoftBank Group
Cipher Mining (NASDAQ:CIFR) has secured a significant $50 million PIPE investment from SoftBank Group Corp. The investment involves SoftBank purchasing approximately 10.4 million shares of Cipher common stock. The funding will support Cipher's HPC data center development business, establishing SoftBank as a major primary investor in the company.
The investment comes at what the company describes as a pivotal moment in Cipher's growth trajectory, particularly as it continues to develop its pipeline of sites and innovative solutions in industrial-scale data centers. Keefe, Bruyette, & Woods Inc. served as financial advisor, while Latham & Watkins LLP provided legal counsel for the transaction.
Cipher Mining (NASDAQ:CIFR) ha ottenuto un investimento PIPE significativo di 50 milioni di dollari da SoftBank Group Corp. L'investimento prevede l'acquisto da parte di SoftBank di circa 10,4 milioni di azioni di Cipher. Il finanziamento supporterà lo sviluppo dei centri dati HPC di Cipher, stabilendo SoftBank come un importante investitore primario nella società.
L'investimento arriva in quello che l'azienda descrive come un momento cruciale nella traiettoria di crescita di Cipher, specialmente mentre continua a sviluppare la sua pipeline di siti e soluzioni innovative nei centri dati su scala industriale. Keefe, Bruyette, & Woods Inc. ha svolto il ruolo di consulente finanziario, mentre Latham & Watkins LLP ha fornito consulenza legale per la transazione.
Cipher Mining (NASDAQ:CIFR) ha asegurado una importante inversión PIPE de 50 millones de dólares de SoftBank Group Corp. La inversión implica que SoftBank compre aproximadamente 10,4 millones de acciones de Cipher. La financiación apoyará el negocio de desarrollo de centros de datos HPC de Cipher, estableciendo a SoftBank como un importante inversor principal en la empresa.
La inversión llega en lo que la empresa describe como un momento crucial en la trayectoria de crecimiento de Cipher, especialmente a medida que continúa desarrollando su cartera de sitios y soluciones innovadoras en centros de datos a escala industrial. Keefe, Bruyette, & Woods Inc. actuó como asesor financiero, mientras que Latham & Watkins LLP proporcionó asesoría legal para la transacción.
Cipher Mining (NASDAQ:CIFR)는 SoftBank Group Corp.로부터 5천만 달러 규모의 PIPE 투자를 확보했습니다. 이번 투자는 SoftBank가 Cipher의 일반주식 약 1040만 주를 구매하는 것을 포함합니다. 이 자금은 Cipher의 HPC 데이터 센터 개발 비즈니스를 지원하며, SoftBank를 회사의 주요 투자자로 자리매김합니다.
이번 투자는 Cipher의 성장 궤적에서 중대한 순간으로 설명되고 있으며, 특히 산업 규모의 데이터 센터에서 사이트와 혁신적인 솔루션의 파이프라인을 개발하고 있는 가운데 이루어졌습니다. Keefe, Bruyette, & Woods Inc.가 재무 고문으로 활동했으며, Latham & Watkins LLP가 거래를 위한 법률 자문을 제공했습니다.
Cipher Mining (NASDAQ:CIFR) a assuré un investissement PIPE significatif de 50 millions de dollars de la part de SoftBank Group Corp. Cet investissement implique que SoftBank achète environ 10,4 millions d'actions de Cipher. Le financement soutiendra le développement des centres de données HPC de Cipher, établissant SoftBank comme un important investisseur principal de l'entreprise.
L'investissement intervient à ce que l'entreprise décrit comme un moment crucial dans la trajectoire de croissance de Cipher, en particulier alors qu'elle continue de développer son portefeuille de sites et de solutions innovantes dans des centres de données à l'échelle industrielle. Keefe, Bruyette, & Woods Inc. a agi en tant que conseiller financier, tandis que Latham & Watkins LLP a fourni des conseils juridiques pour la transaction.
Cipher Mining (NASDAQ:CIFR) hat eine bedeutende PIPE-Investition in Höhe von 50 Millionen Dollar von der SoftBank Group Corp. gesichert. Die Investition beinhaltet den Kauf von etwa 10,4 Millionen Aktien von Cipher durch SoftBank. Diese Finanzierung wird das Geschäft der HPC-Datenzentrum-Entwicklung von Cipher unterstützen und SoftBank als wichtigen primären Investor im Unternehmen etablieren.
Die Investition erfolgt zu einem für die Unternehmensentwicklung entscheidenden Zeitpunkt, insbesondere während Cipher weiterhin an seiner Pipeline von Standorten und innovativen Lösungen in industriellen Datenzentren arbeitet. Keefe, Bruyette, & Woods Inc. fungierte als Finanzberater, während Latham & Watkins LLP rechtlichen Beistand für die Transaktion leistete.
- Secured $50 million PIPE investment from SoftBank Group
- Strategic partnership with a prominent global investment holding company
- Capital injection to support HPC data center development business
- Potential dilution for existing shareholders due to 10.4 million new shares issuance
Insights
The
The investment structure reveals compelling insights:
- The implied price per share represents a premium to current market value, signaling SoftBank's strong confidence in Cipher's growth potential
- The timing aligns with increasing demand for HPC infrastructure driven by AI workloads and computational needs
- The deal minimizes dilution while providing substantial working capital for expansion
SoftBank's investment could catalyze several strategic advantages:
- Access to SoftBank's vast network of AI and tech companies could drive customer acquisition
- Enhanced credibility in capital markets, potentially facilitating future funding rounds
- Validation of Cipher's business model from a sophisticated tech investor
- Potential for knowledge transfer in AI infrastructure optimization
The investment significantly de-risks Cipher's growth strategy and positions the company to capitalize on the surging demand for HPC infrastructure. This move could accelerate Cipher's market position in an industry where scale and technological sophistication are increasingly critical success factors.
The strategic investment in Cipher's HPC data center development represents a calculated move into a critical infrastructure segment. The HPC market is experiencing unprecedented demand driven by:
- Exponential growth in AI model training requirements
- Increasing complexity of computational workloads
- Rising demand for edge computing capabilities
SoftBank's investment validates Cipher's technological approach and could accelerate development in key areas:
- Advanced cooling systems optimization for high-density computing
- Power distribution innovations for AI workloads
- Infrastructure designs optimized for next-generation AI processors
The timing is particularly strategic as the industry faces capacity constraints for AI-optimized infrastructure. Cipher's focus on purpose-built HPC facilities positions it advantageously in a market where traditional data centers struggle to meet the specialized requirements of AI workloads. This partnership could enable faster deployment of advanced infrastructure solutions, potentially establishing new industry standards for HPC facility design and operation.
SoftBank to purchase approximately 10.4 million shares of Cipher common stock for
NEW YORK, Jan. 30, 2025 (GLOBE NEWSWIRE) -- Cipher Mining Inc. (NASDAQ:CIFR) (“Cipher” or the “Company”) today announced a
“We are thrilled to welcome SoftBank as an important investor in Cipher. This investment comes at a pivotal moment in Cipher’s growth trajectory, as the Company continues to attract attention for its pipeline of sites and innovative solutions in industrial-scale data centers. SoftBank’s focus on innovation in technology and AI development aligns with our vision to establish ourselves as a leader in HPC data center development,” said Tyler Page, Cipher’s CEO.
Keefe, Bruyette, & Woods Inc. acted as financial advisor to the Company, and Latham & Watkins LLP acted as legal counsel to the Company.
About Cipher
Cipher is focused on the development and operation of industrial-scale data centers for bitcoin mining and HPC hosting. Cipher aims to be a market leader in innovation, including in bitcoin mining growth, data center construction, and as a hosting partner to the world’s largest HPC companies. To learn more about Cipher, please visit https://www.ciphermining.com/.
Forward-Looking Statements
This press release contains certain forward-looking statements within the meaning of the federal securities laws of the United States. Cipher intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995 and includes this statement for purposes of complying with these safe harbor provisions. Any statements made in this press release that are not statements of historical fact, such as, statements about Cipher’s beliefs and expectations regarding its planned business model and strategy, its HPC data center development and management plans and objectives, are forward-looking statements and should be evaluated as such. These forward-looking statements generally are identified by the words “may,” “will,” “should,” “expects,” “plans,” “anticipates,” “could,” “seeks,” “intends,” “targets,” “projects,” “contemplates,” “believes,” “estimates,” “strategy,” “future,” “forecasts,” “opportunity,” “predicts,” “potential,” “would,” “will likely result,” “continue,” and similar expressions (including the negative versions of such words or expressions).
These forward-looking statements are based upon estimates and assumptions that, while considered reasonable by Cipher and its management, are inherently uncertain. Such forward-looking statements are subject to risks, uncertainties, and other factors that could cause actual results to differ materially from those expressed or implied by such forward looking statements. New risks and uncertainties may emerge from time to time, and it is not possible to predict all risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, including but not limited to: volatility in the price of Cipher’s securities due to a variety of factors, including changes in the competitive and regulated industry in which Cipher operates, Cipher’s evolving business model and strategy and efforts we may make to modify aspects of its business model or engage in various strategic initiatives, variations in performance across competitors, changes in laws and regulations affecting Cipher’s business, and the ability to implement business plans, forecasts, and other expectations and to identify and realize additional opportunities. The foregoing list of factors is not exhaustive. You should carefully consider the foregoing factors and the other risks and uncertainties described in the “Risk Factors” section of Cipher’s Annual Report on Form 10-K for the fiscal year ended December 31, 2023 filed with the Securities and Exchange Commission (“SEC”), as any such factors may be updated from time to time in Cipher’s other filings with the SEC, including without limitation, Cipher’s Quarterly Report on Form 10-Q for the quarterly period ended September 30, 2024. These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and Cipher assumes no obligation and, except as required by law, does not intend to update or revise these forward-looking statements, whether as a result of new information, future events, or otherwise.
Contacts:
Investor Contact:
Courtney Knight
Head of Investor Relations at Cipher Mining
courtney.knight@ciphermining.com
Media Contact:
Ryan Dicovitsky / Kendal Till
Dukas Linden Public Relations
CipherMining@DLPR.com
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