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Needham raises Bitdeer target to $22 after 4.7B Tydal lease
The 16-year Volta colocation agreement is set to bring $4.7 billion in contracted revenue, with two data halls slated for service by Dec. 31, 2026 and March 31, 2027.
Needham lifted its price target on Bitdeer Technologies (NASDAQ: BTDR) to $22 from $19 after the company signed a 121 MW colocation lease with Volta at its Tydal campus in Norway, a deal that carries $4.7 billion in contracted revenue.
The target implies roughly 94% upside versus Bitdeer\u2019s Aug. 3 closing price of $11.37, and Needham kept a Buy rating while valuing the stock at 14.5 times estimated 2027 EV/EBITDA.
Needham said the 16-year colocation deal provides about $202 per kW per month, with a one-time eight-year renewal option that could raise total contract value to around $8 billion over 24 years. The firm also cited 3.0% annual escalators and electricity reimbursed by Volta as a pass-through expense, and it expects Bitdeer to generate about a 90% NOI margin, excluding corporate overhead, depreciation, amortization, and share based compensation.
On investment needs, the brokerage estimated an additional $500 million of capex, or roughly $4 million per IT MW, and contrasted that with estimated $9 million to $13 million per IT MW for several greenfield U.S. developments. It added that Tydal\u2019s existing infrastructure and prior use as a bitcoin mining site support a 54.6% yield on cost, and noted that Volta\u2019s obligations are supported by $1.3 billion of letters of credit, with a no fee termination right after year 10.
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