Video platform Rumble (RUM.O), which hosts President Donald Trump's social media platform Truth Social, is buying German AI cloud company Northern Data (NB2.DE) in a roughly $767 million all-stock deal, according to a statement on Monday.
Northern Data's shareholders will receive 2.0281 newly-issued Class A shares of Rumble for each share they hold, a 12.99% discount to Northern Data's close on Friday.
Northern Data's shareholders will own 30.4% of Rumble following completion of the deal, which is expected in the second quarter of 2026. Northern Data will delist itself following the completion of the deal.
In October, Northern Data withdrew its annual forecast, as it evaluated potential strategic transactions and the GPU market's pricing dynamics.
The deal with Rumble includes a $150 million graphics processing unit leasing agreement with cryptocurrency group Tether, which currently owns 48% of Rumble, as well as $200 million in tax liability support from Rumble.
Rumble will also acquire 22,400 Nvidia (NVDA.O) GPUs following deal completion.
Tether, which invested $775 million in the video platform in December last year, also agreed to become an anchor customer of the combined group.
Northern Data said it will pay $200 million cash to its shareholders if it manages to sell its Corpus Christi data center before the deal closes.
