Business
Greenidge Generation Announces Sale of South Carolina Property to Data Journey for $12.1 Million and 8% Stake in Planned Data Center’s Profits
Marks Greenidge’s First Large-Scale Entry into the Data Center Space as the Company Will Continue Working with Data Journey in Development of Site Highlights
About this update from Greenidge Generation Holdings Inc.
[{"type":"text","content":"\nMarks Greenidge’s First Large-Scale Entry into the Data Center Space as the Company Will Continue Working with Data Journey in Development of Site\n\n\nHighlights Greenidge and Data Journey’s Intention To Partner on Additional Future Sites\n\n\n DRESDEN, N.Y.--(BUSINESS WIRE)--\nGreenidge Generation Holdings Inc. (Nasdaq: GREE) (“Greenidge” or the “Company”), a vertically integrated cryptocurrency data center and power generation company, today announced that it has entered into a definitive agreement to sell its 152-acre Spartanburg, South Carolina property (the “Spartanburg property”) to Data Journey LLC (“Data Journey”) for $12.1 million in cash and an 8% profit participation interest in the property’s planned data center.\n\n\nGreenidge purchased the Spartanburg property in 2021 for a consideration of $15 million, and it included 175 acres and over 750,000 square feet of industrial buildings. In 2023, Greenidge then sold approximately 23 subdivided acres and its upgraded 44 MW mining facilities to NYDIG ABL LLC (“NYDIG”) for a total consideration of approximately $28 million. The sale of the remaining 152-acre Spartanburg property will now enable Data Journey to build a new data center on the property while leveraging the site’s future access to 60 MW of power that has already been secured by Greenidge.\n\n\nFollowing the completion of the property sale, Greenidge will provide support to Data Journey in the site development and buildout. The property sale and accompanying profit share structure align with Greenidge’s longstanding focus on identifying and acquiring properties with access to significant low-cost power; evaluating each property’s best use for bitcoin mining and data center development; maximizing power capacity; and, ultimately developing or selling to a strategic buyer, when appropriate. In alignment with this playbook, Greenidge is now evaluating other sites for similar data center buildouts and intends to partner with Data Journey on other similar sites.\n\n\n“Today marks an exciting step forward for Greenidge as our South Carolina property sale to Data Journey represents our first large-scale entrance into the data center space,” said Greenidge CEO Jordan Kovler. “We continue to see incredible opportunities ahead to leverage our team’s knowledge of electricity markets, infrastructure development and power...