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Mawson Infrastructure expands co-location services, bolsters Bitcoin mining

EditorIsmeta Mujdragic
Published 03/27/2024, 11:48 AM
MIGI
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MIDLAND, Pa. - Mawson Infrastructure Group Inc. (NASDAQ:MIGI), a digital infrastructure provider, has announced the expansion of its co-location services business, marking significant growth in its operations.

The company, which also engages in self-mining bitcoin and energy management, has executed an addendum to a previous customer agreement with Consensus Technology Group LLC, increasing approximately 5,880 miners or about 20 megawatts (MW) to its co-location services.

This expansion comes after the company's successful implementation of three consecutive co-location customer agreements since the beginning of the fourth quarter of 2023. Mawson's total co-location services business is now expected to support approximately 25,284 miners or about 82 MW upon full deployment.

As per the addendum signed on March 25, 2024, the co-location services provided to Consensus will now encompass a total of approximately 21,756 miners, or roughly 70 MW. This is an increase from the initial customer agreement signed on October 12, 2023, which included approximately 15,876 miners or around 50 MW.

Rahul Mewawalla, CEO and President of Mawson Infrastructure, expressed satisfaction with the company's growth trajectory, attributing it to operational and technological excellence as well as the strength of their digital infrastructure platform.

Mawson Infrastructure Group positions itself as a company with a focus on the global transition to a digital economy, integrating digital infrastructure, sustainable energy, and advanced data center solutions.

This news is based on a press release statement from Mawson Infrastructure Group Inc.

InvestingPro Insights

The recent expansion of Mawson Infrastructure Group Inc.'s (NASDAQ:MIGI) co-location services business is a strategic move that aligns with the company's growth trajectory. However, it is important for investors to consider the company's financial health and market performance when evaluating its future prospects. According to InvestingPro data, Mawson Infrastructure Group Inc. has a market capitalization of $25.13 million USD, reflecting its size in the industry.

InvestingPro Tips indicate that the company operates with a significant debt burden and is quickly burning through cash. Additionally, analysts anticipate a sales decline in the current year, which could impact the company's revenue growth. These factors are crucial for investors to consider, as they may affect Mawson's ability to sustain its expansion and manage its financial obligations.

Furthermore, the company's stock price has experienced high volatility, with a price uptick over the last six months, yet it has performed poorly over the last month and year. With a negative P/E Ratio of -0.33 for the last twelve months as of Q3 2023, it is clear that profitability remains a challenge.

For those investors looking for a deeper analysis and more InvestingPro Tips, there are 15 additional tips available on InvestingPro. Use coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, which can provide valuable insights into Mawson Infrastructure Group's performance and potential investment risks.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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