Sphere 3D completes acquisition of Cathedra Bitcoin in all-stock deal

Sphere 3D Corp. has officially closed its acquisition of Cathedra Bitcoin, combining two publicly traded companies into a single entity focused on Bitcoin mining, power infrastructure, and an eventual pivot toward AI workloads. The all-stock transaction gives Cathedra shareholders approximately 49% ownership of the merged company.

Cathedra now operates as a wholly-owned subsidiary of Sphere 3D, which will continue trading on NASDAQ under its existing ticker (ANY). The deal, first announced on March 5, 2026, received near-unanimous support from both shareholder bases before clearing its final regulatory hurdle.

What the combined company looks like

Together, the merged operations span five data centers across Tennessee, Kentucky, and Iowa. The combined footprint delivers 53 MW of managed power capacity and a hash rate of 1.2 EH/s.

The deal was structured entirely in stock, meaning no cash changed hands. Cathedra security holders received shares representing roughly 49% of the new company, though certain large holders were capped at 7% ownership through the issuance of preferred shares. That cap is a governance mechanism designed to prevent any single legacy Cathedra holder from wielding outsized influence in the combined entity.

The approval process and shareholder backing

Cathedra shareholders voted on May 15, delivering 99.95% support for the transaction. Sphere 3D’s shareholders followed suit on May 21, and the Supreme Court of British Columbia granted final court approval on May 26. The British Columbia court’s involvement reflects Cathedra’s Canadian incorporation, as the company previously traded on the TSX Venture Exchange under the ticker CBIT and on the US over-the-counter market as CBTTF.

The AI and HPC play

The combined company has stated plans to expand into artificial intelligence and high-performance computing hosting alongside its existing Bitcoin mining operations. The pitch is straightforward: if you already own power infrastructure and data center space, repurposing some of that capacity for AI workloads is a logical next step. The 53 MW of managed capacity gives Sphere 3D something tangible to work with, but converting mining facilities to AI-grade data centers requires significant capital investment in networking, power density upgrades, and cooling systems that go well beyond what Bitcoin ASICs demand.