Terawulf Sells 25% Stake to Talen Energy for $92 Million, Expands AI and Mining Operations
Bitcoin mining firm Terawulf has sold its 25% stake to its partner, Talen Energy, in a $92 million deal. The transaction includes $85 million in cash and $7 million worth of Bitcoin miners and equipment. Terawulf plans to reinvest the proceeds into expanding its AI and Bitcoin mining infrastructure, particularly by constructing a 20-megawatt facility, dubbed CB-1, at its Lake Mariner site in New York. The facility will be dedicated to high-performance computing (HPC) and AI data centers, benefiting from the siteâs low-cost power.
The sale also gives Terawulf a 3.4x return on its investment in Nautilus, a subsidiary of Talen Energy Corp. CEO Paul Prager called the deal highly advantageous, helping the company enhance its mining fleet efficiency. Additionally, Terawulf aims to complete its mining building MB-5 alongside CB-1, bringing the facility online by Q1 2025. These efforts are expected to reduce operational costs and boost profitability by leveraging predominantly zero-carbon energy. Despite this positive outlook, Terawulfâs stock (WULF) dropped by 2.6% following the sale news.
4o
