Hyperscale Data (GPUS) Registration filing summary

Company overview and business model

• Operates as a diversified holding company with subsidiaries in data centers, Bitcoin mining, AI software, commercial lending, gaming, and other sectors.

• Transitioning data centers from Bitcoin mining to high-performance computing (HPC) and AI workloads, focusing on a 617,000 sq. ft. Michigan facility.

• Principal subsidiaries include Sentinum (data centers/Bitcoin mining), Ault Lending (commercial lending), RiskOn International (gaming), and askROI (AI SaaS platform).

• Business strategy centers on maximizing shareholder value through monetization, public offerings, and potential sales of subsidiaries.

Financial performance and metrics

• Sentinum generated $31.5M revenue and a $12.6M net loss in 2024, compared to $33.1M revenue and $2.6M net loss in 2023.

• As of Dec 31, 2024, held ~$183,000 in Bitcoin, less than 0.1% of total assets ($219.7M).

• Cash generated from Sentinum operations (excluding capex) was $12.7M in 2024 and $15.7M in 2023.

• Ongoing operating losses have led to selling mined Bitcoin to fund expenses.

Use of proceeds and capital allocation

• May receive up to $50M in gross proceeds from sales of Series B Preferred Stock to the selling stockholder over 51 months.

• Proceeds will be used based on liquidity needs and capital availability; specific uses not detailed.

• Focus on funding working capital, debt obligations, and investments in subsidiary growth.