Why Bitcoin- And Ethereum-Related Stock Sphere 3D Is Rising

Sphere 3D Corp ANY shares are trading higher by 11.7% at $2.58 Friday morning after the company announced it entered into an agreement to purchase 60,000 units of new NM440 Bitcoin BTC/USD miners from NuMiner Global.

Sphere 3D says the purchase terms for the 60,000 NM440s amount to a maximum purchase price of $1.7 billion including:

• $429 million in down payments, including approximately $400 million in common and preferred stock, subject to regulatory approval, and $29 million in cash;
• $1.1 billion in vendor financing from NuMiner at the option of Sphere 3D and subject to execution of additional definitive documentation; and
• Additional milestone payments of approximately $185 million based on a sliding scale contingent on the reduction of J/T delivered NM440s below the current 20.2 J/T.

"Sphere 3D is proud to be NuMiner's launch partner. We continue to focus on the growth of our mining operations, and the agreement to purchase the NM440 provides us the ability to increase our EH/s capacity on order by 440% over the next 13 months. The NM440 should also increase our overall efficiency, further improving margins and profitability as we scale our mining operations," said Peter Tassiopoulos, Chief Executive Officer of Sphere 3D. "The reduction in energy consumption per TH/s further exemplifies our shared commitment to ESG leadership in the industry."

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Sphere 3D Corp delivers virtualization technology and data management solutions. It operates in one segment, which is providing data management and desktop and application virtualization solutions for small and medium businesses and distributed enterprises.

Sphere 3D has a 52-week high of $11.98 and a 52-week low of $1.28.