Riot Platforms Shares Surge on AMD Data Center Capacity Expansion

Riot Platforms is experiencing a surge in its stock price following the expansion of Advanced Micro Devices' (AMD) data center capacity deal with the company. The increased capacity at Rockdale, Texas, has potential to reach 150 megawatts, generating approximately $636 million over 10 years.

The improved terms on Riot's bitcoin-backed credit facility with Coinbase are also contributing to investor confidence in its growing data center business. The interest rate on the $200 million credit line has been reduced from 8.3% to a fixed 6.15%, and 1,544 bitcoin previously pledged as collateral have been released.

Q1 data center revenue for Riot reached $33.2 million, while bitcoin mining revenue fell to $111.9 million. The company also sold 3,688 BTC during the quarter, ending March with 15,679 BTC and $282.5 million in cash.