HIVE Secures About $129 Million in Financing to Buy $165 Million GB200 Cluster

Key Facts

HIVE said on October 27, 2026, that its subsidiary BUZZ Alpha Cloud had entered into a loan and security agreement for a credit facility of about $129 million to finance the purchase of a computing cluster comprising 2,303 NVIDIA GB200 units and costing $165 million. The company said the financing covers about 80% of the cluster’s cost, with its contribution toward the balance coming from proceeds of convertible notes it previously issued at 0% interest. The loan carries a fixed annual interest rate of 9.0% over three years, with principal and interest repaid under an amortization schedule during that period. BUZZ Alpha Cloud plans to cover the installments from revenue under its contract with Cohere. The structure thus links asset financing to revenue from the project the cluster will serve, while repayment capacity depends on the performance of that contract.

According to HIVE, the loan is secured by a pledge of BUZZ Alpha Cloud’s GPU units and related assets, while BUZZ HPC provides a limited-recourse guarantee and pledges its stake in the borrowing company, with no other liability under the facility. The agreement includes customary covenants and required debt-service coverage ratios. The company said it expects to own the GPU units outright at the end of the loan term, with no residual payment. This condition makes repayment of the financing principal over the three years part of the arrangement for owning the cluster, while the financed assets remain collateral throughout the facility term. HIVE warned that contract revenue may not be sufficient to service the loan or meet debt-service coverage covenants, and also cited risks of GPU depreciation or delays in delivery and installation.

The total value of Cohere’s fixed three-year contract is $225 million, according to the latest statement, including computing, connectivity and storage revenue. HIVE said the figure it previously announced, about $220 million, counted computing revenue only. In June, the company announced a three-year GPU cloud computing contract with Bell Canada and Cohere to deploy 2,304 Grace Blackwell units in GB200 NVL72 systems with NVIDIA Quantum InfiniBand networking at Bell’s facility in Merritt, British Columbia. The latest announcement describes the financed cluster as comprising 2,303 GB200 units, one fewer than the number in the earlier contract announcement. HIVE said the $165 million price reflects an attractive price, adding that NVIDIA equipment prices had risen significantly over the previous six months, without specifying the increase.

Bell will provide a nationwide data-center and connectivity platform, while Cohere will run its foundational models and enterprise AI solutions on BUZZ’s cloud infrastructure for government and corporate customers in Canada. HIVE said the infrastructure will provide the high-performance computing layer needed to run those services. The Cohere contract is one of the GPU capacity purchase agreements the company said it entered into during 2026; the CEO said the value of GPU cloud contracts had reached $600 million across three contracts. The GB200 units are scheduled for delivery near the end of the fourth quarter of 2026. That timing places deployment of the financed cluster within the announced schedule for fulfilling the contract.

The deal comes as HIVE expands its GPU cloud computing business, which recorded revenue of $7.1 million in the first quarter of its fiscal 2027, ended June 30, 2026. BUZZ HPC revenue rose 46.7% year over year and 52.1% from the previous quarter, with HIVE attributing the growth to deployment of an NVIDIA B200 cluster in Manitoba and to demand and pricing in GPU markets. The company’s total revenue was $79.1 million in the same quarter, up 73.5% year over year and 10.2% from the previous quarter. The company also said its active and contracted annualized recurring revenue for GPU cloud services was about $110 million, and that it was targeting nearly $200 million by the fourth quarter of 2026, subject to market conditions and successful deployment. HIVE had $208 million in cash and equivalents, alongside $11.2 million in digital currencies, as of June 30, 2026.