Hyperscale Data has liquidated its remaining Bitcoin market price and chart reserves for approximately $16 million, directing the proceeds toward debt reduction and construction of its Michigan AI data center.
The company’s November 10 disclosure says approximately 211.56 BTC had been sold by November 8 at around $76,000 per coin. The transaction was therefore completed before the announcement.
Reserve Sales Fund Debt Reduction And Construction Work
Hyperscale said its cumulative sales since late July reached approximately 1,113 BTC, producing about $74.4 million. Management is targeting December to energize the first 10 megawatts of critical IT capacity at the Michigan facility.
Chief Executive Will Horne said the company’s priority was bringing the Michigan capacity online in December. The company said proceeds would fund development and reduce debt.
Hyperscale continues mining Bitcoin at its Montana site. It expects future balance-sheet holdings to come primarily from its mining operations.
Company Moves Investor Day And Quarterly Reporting Schedule
Hyperscale said it expected to file its September-quarter Form 10-Q on or before November 23. It also planned to move its virtual Investor Day from November 12 to November 23, citing its proposed exchange offer.
Management expects the event to include updates on debt reduction and progress toward December energization. The capacity target remains a management plan rather than a completed operating milestone.
Earlier Reserve Disclosure Provides Baseline Before Final Sale
Hyperscale’s November 3 balance update reported 211.4639 BTC at November 1. The company valued that holding at approximately $16.5 million using a Bitcoin closing price of $78,248.
The same update disclosed approximately $34.1 million in cash and restricted cash, taking the combined reported amount to about $50.6 million. It did not present all of that amount as unrestricted cash available for construction.
The November 1 holding and the approximately 211.56 BTC subsequently sold refer to different measurement dates. The sale announcement states that all remaining reserves were disposed of by November 8.
Michigan Contract Covers Initial Twenty Megawatts Of Capacity
An earlier company financing disclosure describes a master services agreement between campus operator ACS and a California-based neocloud customer. It covers colocation and related services for an initial 20 MW of critical AI computing capacity.
The contract has an initial ten-year term and gives the customer two five-year extension options. A right of first offer covers another 32 MW if available, potentially taking its deployment to 52 MW.
The first 10 MW targeted for December is therefore an initial delivery milestone within a larger contracted deployment. Hyperscale said revenue-generating activity was expected to begin with that milestone, subject to the infrastructure and commissioning work being completed.
The company engaged Newmark to arrange long-term debt financing for the Michigan campus. It said potential terms would be assessed for interest cost, repayment obligations, collateral and covenants.
The engagement is not a lending commitment. Hyperscale said financing still required underwriting, due diligence, definitive agreements and closing conditions; it had not announced an amount, pricing or maturity.
These disclosures identify two funding tracks for Michigan: cash realized from the completed Bitcoin sales and financing that was still being sought. The company has not established that appointing the adviser has secured the proposed borrowing.
