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Thursday, April 02, 2026 6:16:23 AM
Hyperscale Data Receives $26.6 Million of Cash Related to Litigation Settlement; Cash Receipt Represents a Significant Liquidity Event for the Company
April 2, 2026 6:00 AM
PR Newswire (US)
LAS VEGAS, April 2, 2026 /PRNewswire/ -- Hyperscale Data, Inc. (NYSE American: GPUS), an artificial intelligence ("AI") data center company anchored by Bitcoin ("Hyperscale Data" or the "Company"), today announced that it has received approximately $26.6 million in cash in connection with the resolution of previously disclosed litigation involving a former subsidiary. The proceeds were received by the Company's subsidiaries, Ault Lending, LLC ("Ault Lending") and RiskOn International, Inc. ("ROI").
The proceeds relate to a litigation matter that had been ongoing for several years and was resolved pursuant to a confidential settlement agreement, the terms of which remain undisclosed.
Approximately $10 million of the proceeds were received during March 2026 and reflects amounts attributable to legacy ownership interests held by the Company's subsidiary, Ault Lending, which will be fully recognized as revenue during the first quarter ending March 31, 2026. The remaining proceeds were received on April 1, 2026, and were previously designated for distribution to ROI stockholders of record as of November 15, 2022. Due to administrative and identification considerations associated with certain ROI stockholders, approximately $16.6 million of these funds has been received by ROI. The Company is evaluating the appropriate treatment of such amounts. Ultimately, any amounts retained by ROI will be reflected as other income.
"This cash receipt represents a meaningful liquidity event for Hyperscale Data and reflects the culmination of a long-standing matter," said William B. Horne, Chief Executive Officer of Hyperscale Data. "We remain focused on executing our strategy as a next-generation AI data center platform while maintaining disciplined capital allocation."
For more information on Hyperscale Data and its subsidiaries, Hyperscale Data recommends that stockholders, investors and any other interested parties read Hyperscale Data's public filings and press releases available under the Investor Relations section at hyperscaledata.com or available at www.sec.gov.
About Hyperscale Data, Inc.
Through its wholly owned subsidiary Sentinum, Inc., Hyperscale Data owns and operates a data center at which it mines digital assets and offers colocation and hosting services for the emerging AI ecosystems and other industries. Hyperscale Data's other wholly owned subsidiary, ACG, is a diversified holding company pursuing growth by acquiring undervalued businesses and disruptive technologies with a global impact.
Hyperscale Data currently expects the divestiture of ACG (the "Divestiture") to occur in the second quarter of 2027. Upon the occurrence of the Divestiture, the Company would be an owner and operator of data centers to support high-performance computing services, as well as a holder of the digital assets. Until the Divestiture occurs, the Company will continue to provide, through ACG and its wholly and majority-owned subsidiaries and strategic investments, mission-critical products that support a diverse range of industries, including an AI software platform, social gaming platform, equipment rental services, defense/aerospace, industrial, automotive, medical/biopharma and hotel operations. In addition, ACG is actively engaged in private credit and structured finance through a licensed lending subsidiary. Hyperscale Data's headquarters are located at 11411 Southern Highlands Parkway, Suite 190, Las Vegas, NV 89141.
On December 23, 2024, the Company issued one million (1,000,000) shares of a newly designated Series F Exchangeable Preferred Stock (the "Series F Preferred Stock") to all common stockholders and holders of the Series C Preferred Stock on an as-converted basis. The Divestiture will occur through the voluntary exchange of the Series F Preferred Stock for shares of Class A Common Stock and Class B Common Stock of ACG (collectively, the "ACG Shares"). The Company reminds its stockholders that only those holders of the Series F Preferred Stock who agree to surrender such shares, and do not properly withdraw such surrender, in the exchange offer through which the Divestiture will occur, will be entitled to receive the ACG Shares and consequently be shareholders of ACG upon the occurrence of the Divestiture.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements generally include statements that are predictive in nature and depend upon or refer to future events or conditions, and include words such as "believes," "plans," "anticipates," "projects," "estimates," "expects," "intends," "strategy," "future," "opportunity," "may," "will," "should," "could," "potential," or similar expressions. Statements that are not historical facts are forward-looking statements. Forward-looking statements are based on current beliefs and assumptions that are subject to risks and uncertainties.
Forward-looking statements speak only as of the date they are made, and the Company undertakes no obligation to update any of them publicly in light of new information or future events. Actual results could differ materially from those contained in any forward-looking statement as a result of various factors. More information, including potential risk factors, that could affect the Company's business and financial results are included in the Company's filings with the U.S. Securities and Exchange Commission, including, but not limited to, the Company's Forms 10-K, 10-Q and 8-K. All filings are available at www.sec.gov and on the Company's website at hyperscaledata.com.
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SOURCE Hyperscale Data Inc.
