Keel Infrastructure's Debt-Fueled Bet on AI Grid Access

Keel Infrastructure, formerly known as Bitfarms, has seen its stock price fluctuate this week. After reaching a fresh 52-week high of $7.37 on Monday with a 5.9% daily gain, shares retreated in premarket trading Tuesday to around $6.39. This pullback reflected the broader tech rout that sent the Nasdaq sliding 628 points, or 2.4%, as investors questioned the profitability of massive capital spending on artificial intelligence.

The company has spent the past two years transforming itself from a Bitcoin miner to an AI infrastructure developer. It relocated its headquarters from Canada to the United States, assembled a new management team, and shed its Latin American operations. The name change signals a complete break with crypto-mining in favor of high-performance computing and GPU cloud services.

Keel's pivot is built on access to electricity, which is also crucial for AI computing. The company has a development pipeline of 2.2 gigawatts at sites in Pennsylvania, Washington, and Quebec, all with existing utility ties. This head start gives Keel a competitive edge in an environment where new grid interconnections can take years.

Goldman Sachs expects US data-center power demand to increase from 31 gigawatts in 2025 to 66 gigawatts two years later, amplifying the value of every secured megawatt. To fund its development, Keel placed $458 million in convertible notes in early June, which carry a 1.25% coupon and mature in 2032.