Stock Jumps Following AI Infrastructure Expansion Announcement
Shares of HIVE Digital Technologies (NASDAQ:HIVE) soared 33.1% in premarket trading on Monday after the company unveiled plans to develop a large-scale artificial intelligence infrastructure facility in the Greater Toronto Area.
The project will be led through HIVE subsidiary BUZZ High Performance Computing Inc., which has acquired approximately 25 acres of land for $58 million.
Company Plans 320 MW AI Gigafactory
The site is intended to host an AI gigafactory with 320 megawatts of utility capacity and is expected to become one of the largest AI-focused facilities in Canada.
According to the company, the full build-out is designed to support more than 100,000 GPUs.
The facility is scheduled to begin operations during the second half of 2027 and is expected to require roughly CAD $3.5 billion in capital investment.
Project Expected to Create Jobs and Expand Capacity
HIVE said the development should generate more than 800 construction jobs as well as hundreds of permanent high-skilled positions once operational.
Globally, the company now controls more than 850 MW of power capacity, including 450 MW tied to active data centers and an additional 400 MW pipeline expected to come online in 2027.
Within Canada, HIVE currently operates 100 MW of data center infrastructure and now has an additional 320 MW pipeline planned for 2027.
Strategic Location in Canadian Technology Corridor
The facility will be situated between Toronto and Waterloo, placing it within one of Canada’s main technology and artificial intelligence hubs.
The company said the site will run on Ontario’s clean electricity grid and incorporate closed-loop cooling systems as part of its infrastructure design.
Land Acquisition Details and GPU Expansion Plans
BUZZ purchased the primary 21-acre parcel for $46 million and acquired an additional four-acre site for $12 million.
Together, the properties include access to the full 320 MW power allocation.
HIVE currently operates around 5,500 GPUs dedicated to AI computing, in addition to a 70 MW facility located in New Brunswick.
The company said the new development is expected to support approximately 130,000 GPUs across its Canadian operations.