NVIDIA discloses investment landscape: holds over $60 million in Applied Digital, with the largest stake still in Arm
NVIDIA holds approximately 7.72 million shares of Applied Digital, valued at $63.66 million, accounting for about 3% of its shares. Applied Digital provides digital infrastructure solutions in North America, with first-quarter revenue of $60.7 million, a year-on-year increase of 67%. NVIDIA also holds shares in several companies, including Arm, and continues to increase its investment in AI-related enterprises
The Zhitong Finance APP noted that public documents show that NVIDIA (NVDA.US) holds approximately 7.72 million shares, valued at about $63.66 million, in digital infrastructure solutions developer Applied Digital (APLD.US), which accounts for about 3% of Applied Digital's shares. As of the time of publication, Applied Digital's pre-market shares rose over 3%.
Applied Digital designs, develops, and operates digital infrastructure solutions and cloud services in North America, focusing on high-performance computing and the artificial intelligence industry. For the first fiscal quarter ending August 31, the company's revenue was $60.7 million (a year-on-year increase of 67%), with a net loss of $4.2 million.
In September of this year, this AI cloud company secured $160 million in financing from a group of investors, including NVIDIA and related companies. This deal brought new capital to Applied Digital, which is expected to help fund the company's growth and support planned debt financing transactions.
Amid the AI boom, NVIDIA has been increasing its investment to support companies using its chips. The company also participated in a $100 million financing round for Japanese AI research company Sakana AI.
On another note, NVIDIA also holds shares in biotechnology company Recursion Pharmaceuticals (RXRX.US) (7.71 million shares), Arm Holdings (1.96 million shares), SoundHound (SOUN.US) (173,000 shares), Nano-X Imaging (NNOX.US) (59,632 shares), and Serve Robotics (SERV.US) (373,000 shares).
Documents also show that its investment in Arm (ARM.US) remains its largest investment, totaling $280.41 million. NVIDIA attempted to acquire Arm for $40 billion in 2020, but regulatory pressure forced it to abandon the deal in 2022. Arm's stock price has risen approximately 98% year-to-date