Hyperscale Data receives $26.6 million from litigation settlement

Hyperscale Data Inc. (NYSE American: GPUS) received approximately $26.6 million in cash from the resolution of litigation involving a former subsidiary, according to a company statement.

The proceeds were received by the company's subsidiaries, Ault Lending LLC and RiskOn International Inc. The litigation matter had been ongoing for several years and was resolved through a confidential settlement agreement with undisclosed terms.

Approximately $10 million of the proceeds were received during March 2026 and relate to legacy ownership interests held by Ault Lending, which will be 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 RiskOn International stockholders of record as of November 15, 2022.

Due to administrative and identification considerations associated with certain RiskOn International stockholders, approximately $16.6 million of these funds has been received by the subsidiary. The company stated it is evaluating the appropriate treatment of such amounts, with any amounts retained by RiskOn International to 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.

Hyperscale Data operates as an artificial intelligence data center company. Through its subsidiary Sentinum Inc., the company owns and operates a data center where it mines digital assets and offers colocation and hosting services for AI ecosystems and other industries.

You May Also Be Interested In

• Avis Budget Group reaches $650M settlement with Pentwater Capital
• Comfort Systems USA names new COO and Chief Strategy Officer
• Arvinas CMO to depart in July as company begins search