Canaan Acquires 49% Stake in Three Texas Mining Sites for $40 Million

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Bitcoin mining hardware manufacturer Canaan has expanded its operational footprint in the United States, purchasing a 49 percent interest in three Texas-based mining projects from Cipher Mining for $39.75 million.

The transaction, announced on Monday, covers joint venture entities known collectively as the ABC Projects: Alborz LLC, Bear LLC and Chief Mountain LLC. Following the acquisition, Canaan now holds a 49 percent stake in the facilities while WindHQ, a renewable energy infrastructure firm, retains the controlling 51 percent interest.

The three sites are already operational and boast a combined power capacity of 120 megawatts, generating approximately 4.4 exahashes per second of hashrate. Canaan also acquired 6,840 Avalon A15Pro mining rigs from Cipher as part of the deal. Those machines had previously been deployed at Cipher’s Black Pearl location, which is currently being converted into an artificial intelligence and high-performance computing data center.

Nangeng Zhang, chairman and chief executive officer of Canaan, framed the move as a strategic alignment of the company’s technology with critical infrastructure. “By increasing our exposure to high-quality, low-cost operational power assets in Texas, we are aligning our proprietary technology with critical infrastructure to drive long-term efficiency and scale,” Zhang said.

The acquisition was financed entirely through shares. Canaan issued 806,439,900 Class A shares, equivalent to 53,762,660 American Depositary Shares, priced at $0.7394 per ADS. The shares are subject to a six-month lockup period.