Rumble Plans All-Stock $1.17B Acquisition Northern Data

Rumble Inc. has announced its intention to acquire Northern Data AG in a $1.17 billion all-stock deal, which would give Northern Data shareholders a 33.3% stake in Rumble. This acquisition aims to enhance Rumble's artificial intelligence and cloud computing capabilities, positioning the company as a global leader in AI cloud infrastructure. The majority shareholder of Northern Data, Tether, supports the transaction and plans a multi-year commitment to purchase GPUs from Rumble, potentially boosting revenue streams. Analysts have a bullish outlook on Rumble's stock, with an average price target suggesting a nearly 70% upside from current levels, though brokerage recommendations remain cautious with a 'Hold' rating. The deal is subject to due diligence, regulatory approval, and possible changes to offer terms, with no final decision yet made to launch the offer. Overall, the acquisition reflects Rumble's strategic expansion efforts in the competitive AI and cloud services markets.