Last updated on March 5th, 2026 at 08:34 pm
Canaan is ramping up its U.S. mining plans after buying Cipher Mining’s 49% stake in three active facilities in Texas for $39.75 million. The deal allows the Nasdaq-listed Bitcoin mining hardware manufacturer to gain a solid base in the jointly operated “ABC Projects”: Alborz LLC, Bear LLC, and Chief Mountain LLC. Meanwhile, renewable energy firm WindHQ holds a 51% majority stake.
Canaan Chairman and CEO Nangeng Zhang stated that this transaction supports the company’s long-term plan of combining its own mining hardware with efficient energy infrastructure.
JUST IN: 🔗 @Canaanio acquires 49% stake in Alborz LLC, Bear LLC, and Chief Mountain LLC from Cipher Mining, adding 6,840 Avalon A15Pro mining rigs. This $39.75M deal enhances Canaan’s operational power efficiency in Texas and strengthens ties with Cipher as a key shareholder.… pic.twitter.com/pZdV2tOLPd
— Bitcoin Mining Stock (@miningstockinfo) February 23, 2026
The three sites are already operating, with a combined power capacity of 120 megawatts (MW) and generating about 4.4 exahashes per second (EH/s) of computing power.
Low-cost power and strategic hardware acquisition
Beyond the equity stake, Canaan has also acquired 6,840 Avalon A15Pro mining rigs from Cipher. These machines were previously used at Cipher’s Black Pearl facility, which is currently being converted into an AI and high-performance computing (AI-HPC) data centre.
To fund the acquisition, Canaan issued 806,439,900 Class A shares, which are equivalent to 53,762,660 American Depositary Shares (ADS), priced at $0.7394 per ADS. There is a six-month lockup period for these shares.
Zhang highlighted that the ABC Projects offer “industry-leading power pricing” and provide a solid foundation for growth.
This purchase comes after a strong fourth quarter for Canaan, which reported a 121.1% year-on-year increase in revenue, totalling $196.3 million. This growth was driven by better hardware shipments and increased mining output. Bitcoin mining revenue rose by 98.5% to $30.4 million, and the company’s treasury holdings reached 1,750 BTC.
Mining firms pivot toward AI as industry evolves
Canaan’s growth happens as Bitcoin mining companies are increasingly looking into artificial intelligence and cloud services to cope with shrinking mining margins.
Recently, several companies in the industry have fast-tracked their AI initiatives. MARA Holdings acquired a 64% stake in the French firm Exaion, gaining access to AI services. Meanwhile, companies like Hive Digital Technologies, Hut 8, TeraWulf, and Iren are converting mining facilities into data centres.
Some, like CoreWeave, have completely shifted focus to AI-centered operations.
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