Hyperscale Data Plans Exchange Offer of Up to $50 Million, Common Stock Valued at $0.26, an 82% Premium to November 6 Close

November 9 - According to PR Newswire, AI data center company Hyperscale Data, Inc. (NYSE American: GPUS) announced it intends to launch an exchange offer to acquire up to 192,307,692 shares of Class A common stock, corresponding to a value of up to approximately $50 million. For every 100 shares of common stock tendered, shareholders will receive one unit containing $2.00 in cash and 1 share of preferred stock with a stated value of $24.00 and an annual dividend rate of 12.00%, corresponding to an implied valuation of approximately $0.26 per share of common stock, representing an 82% premium over the closing price of $0.1429 on November 6, 2026. The offer is subject to a minimum tender of 100 million shares of common stock.

The company expects to formally launch the exchange offer on or about November 17, 2026, subject to board approval, regulatory approval, and customary closing conditions. The company will apply to list the preferred stock on NYSE American; if approved, trading is expected to begin within 30 days after listing approval. Relevant details will be set forth in the exchange offer documents filed with the U.S. Securities and Exchange Commission and distributed to shareholders.

Hyperscale Data stated that the move is intended to bridge the significant gap between its current market capitalization and the strength of its balance sheet, including the company's cash and Bitcoin holdings. Executive Chairman Milton "Todd" Ault III said the company believes there is a clear disconnect between intrinsic value and the current price of its common stock, and that the exchange offer both provides shareholders with liquidity and an instrument that can receive fixed distributions, while also enabling the company to repurchase a substantial proportion of its shares at a price it considers significantly undervalued.