Hyperscale Data Opens $300 Million ATM on $166 Million Market Cap
Distressed
Company Background
Hyperscale Data (NYSE American: GPUS) is a Las Vegas-based holding company that operates a Bitcoin mining and AI colocation data center through its Sentinum subsidiary. Its other principal subsidiary, Ault Capital Group (ACG), spans crane rental, defense and aerospace, hotels, lending, and financial services — a sprawling portfolio the company has been planning to spin off. As of October 31, 2025, total assets were estimated at $330 million, including $122 million in combined cash and Bitcoin holdings, and the company had reduced debt by more than $30 million year-to-date.
Revenue reached approximately $100 million in full-year 2025 and grew roughly 76% year-over-year in the first quarter of 2026 to approximately $44 million, driven by newly consolidated subsidiary Gresham Worldwide and a $10 million litigation settlement recognized by the lending unit Ault Lending. Management has guided for $180 million to $200 million in full-year 2026 revenue, while targeting profitability in the fourth quarter of 2026. Despite those operating metrics, the common stock has traded well below management's stated intrinsic value — the prior ATM averaged approximately $0.1793 per share over 137.6 million shares sold.
On May 7, 2026, the company announced a formal review of strategic alternatives, citing "a substantial disconnect between the public market valuation of the Company and the underlying value of its assets and operations." Rather than completing a buyback or tender offer under that review, the company has instead pursued multiple dilutive capital raises in rapid succession.
What Was Disclosed
On June 18, 2026, Hyperscale Data entered into an at-the-market sales agreement with Spartan Capital Securities, LLC to sell up to $300 million of Class A common stock from time to time on the NYSE American. The offering is made pursuant to a shelf registration (File No. 333-291595) that became effective December 11, 2025. Management intends to use the majority of net proceeds to develop data center facilities in Michigan and Montana, acquire additional Bitcoin, and purchase precious metals including gold, silver, and copper. A smaller portion is earmarked for working capital and potential debt repayment. Management retains broad discretion over timing and application of proceeds, and the filing cautions that no specific use can be predicted with certainty.