Hyperscale Data (GPUS) heads into a critical Monday as its self-tender offer at $0.21 per share sits well above the stock's recent trading level. The company's buyback bid expires at one minute after 11:59 p.m. New York time on Monday, unless extended or terminated, following a 24.84% decline on Friday that left the stock at $0.1510.
The offer, which covers up to 23,809,523 Class A shares for a total of $5 million, represents about 5.1% of shares outstanding as of May 15. It is not conditioned on a minimum number of shares being tendered or on financing, and if oversubscribed, purchases will be prorated, meaning some sellers may not have all their shares accepted.
Executive Chairman Milton "Todd" Ault III framed the move in valuation terms, citing a "material disconnect" between the company's share price and its net book value of $0.26 per share as of March 31. The company also highlighted its cash, restricted cash, and Bitcoin holdings as underpinning the buyback rationale.
Alongside the tender, Hyperscale Data has terminated its at-the-market (ATM) stock-sale program, through which it had sold approximately 137.6 million common shares, raising about $24.7 million in gross proceeds at an average price of roughly $0.1793 per share. No further sales will be made under the program.
The company's balance sheet remains a key story for investors. As of May 31, Hyperscale held about 704.3405 Bitcoin, valued at approximately $51.8 million based on that day's closing price. The company noted it made no open-market Bitcoin purchases during the week ended May 31.
GPUS shares have been volatile recently, rising 30.6% on June 2, then falling 9.7% on June 3, 3.65% on June 4, and 24.84% on June 5. The broader market has also been under pressure, with the Nasdaq dropping 4.18% and the S&P 500 falling 2.64% on Friday, as chip stocks slid and a stronger-than-expected U.S. jobs report reignited rate concerns.
The competitive landscape includes larger, better-funded players like Megaport and CoreWeave, which are securing AI infrastructure contracts. Hyperscale operates in data-center and hosting services, but its near-term catalyst is more centered on capital structure and Bitcoin exposure than on new customer wins.
Investors should note that the tender does not eliminate key risks. The filing includes conditions that could allow the company to alter or terminate the offer, including market declines, exchange issues, or other adverse events. A completed buyback could also reduce the public float, potentially amplifying price swings.
Preliminary results of the tender are expected to be announced promptly after expiration, with final proration and payment likely to take at least three business days.
