Northern Data AG Secures 20% Capital Increase for Cloud Expansion

Frankfurt am Main, 15 July 2024 – Northern Data AG has authorized a 20% capital increase through the issuance of 10,699,446 new shares. These new shares will bring approximately EUR 214 million in gross proceeds, aimed at strengthening the company's cloud platform and expanding data center infrastructure across Europe and the United States.

The new shares will have an issue price of EUR 20.00, offering a 1.7% premium over the last trading day's volume-weighted average price. Shareholders' interests are preserved as there will be no economic dilution for those not participating in the increase.

In the first step, Tether Investments Ltd. and an entity owned by CEO Aroosh Thillainathan will subscribe to new shares proportionate to their current holdings. Major shareholders will then have the option to participate in the remaining allocation. The process is secured by a backstop agreement to ensure full subscription.

The newly issued shares will have full dividend rights as from January 1, 2023, and will soon be listed on the Munich Stock Exchange. The company plans to seek renewal of the partially used authorizations in the next general meeting.