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Story: Rumble Offers Equity to Northern Data Shareholders as Tether Orchestrates Unusual Merger Deal

By James Thorp

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What Rumble Gets From the Deal. The combination looks weird on paper. A video streaming service merging with a defunct crypto…

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Stock Performance Tells a Story. Both companies saw their stock prices drop after Tether got involved.

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Rumble started the equity exchange process with Northern Data. The video streaming platform is merging with the troubled data center operator in a deal heavily shaped by Tether's…

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Northern Data shareholders will get 2.0281 Rumble shares for each share they own. Right now Northern Data trades at $13 per share while Rumble sits at $6.41.

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The combination looks weird on paper. A video streaming service merging with a defunct crypto mining operation turned data center company isn't your typical corporate marriage.

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Tether committed to buying $150 million worth of computing power from Rumble over the next two years.

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The deal required almost no input from minority shareholders. Tether's control made that possible.

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Both companies saw their stock prices drop after Tether got involved. Rumble has been trading near all-time lows, which isn't great for a company that went public with big…

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But something shifted when the merger started. Both stocks rallied about 20% from their lows.

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The market's been skeptical of Tether for years. The company has faced questions about its reserves, its auditing practices, and its involvement in various crypto controversies.

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See also: DoubleZero Launches Edge to Cut Solana Data Lag for Traders

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This merger shows Tether flexing its financial muscle. The company orchestrated a deal between two struggling entities it already controlled, locked in a big purchase commitment,…

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Northern Data's financial restructuring has been messy. The company pivoted from crypto mining when that business model collapsed, but the transition to data centers hasn't been…

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For Rumble, the infrastructure gains are real. Thousands of GPU servers and multiple data center sites give the company hardware it couldn't easily acquire otherwise.

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The $150 million computing purchase from Tether is probably the most concrete part of this whole arrangement.

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