Digi Power X Announces Entry into Settlement Agreement

Digi Power X (Nasdaq:DGXX) announced a settlement with H.C.

Rhea-AI Summary

Digi Power X (Nasdaq:DGXX) announced a settlement with H.C. Wainwright & Co. resolving disputed compensation tied to a registered direct financing closed July 23, 2025. Under the agreement, Digi Power X will pay a cash fee of US$840,000.12 and issue a warrant exercisable for 269,231 subordinate voting shares at US$2.85 per share for five years from issuance. All securities issuable under the agreement are subject to approval by the TSX Venture Exchange.

Positive

• Settlement resolves disputed financing compensation
• Cash obligation limited to US$840,000.12

Negative

• Warrant issuance for 269,231 shares may dilute shareholders
• Warrants exercisable for five years could increase share count

Argus Jan 12 session

+4.21% close to close Open Argus

Details

News Market Reaction – DGXX

In the Jan 12 session, DGXX gained 4.21%, reflecting a moderate positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

Market Context

This announcement details a settlement requiring a cash fee of US$840,000.12 and a warrant for 269,2...

Analysis

This announcement details a settlement requiring a cash fee of US$840,000.12 and a warrant for 269,231 subordinate voting shares at US$2.85 for five years, subject to TSX Venture Exchange approval. It follows recent updates highlighting liquidity of roughly $100M and progress on AI-focused infrastructure. Investors may monitor any future updates on capital structure, warrant exercises, and how these obligations interact with previously disclosed cash and digital asset balances.

Key Figures

Settlement cash fee: US$840,000.12 Settlement warrant shares: 269,231 shares Warrant exercise price: US$2.85 per share +5 more

Settlement cash fee

US$840,000.12

Cash payment to H.C. Wainwright under settlement agreement

Settlement warrant shares

269,231 shares

Warrant for subordinate voting shares to Wainwright

Warrant exercise price

US$2.85 per share

Exercise price for settlement warrant, 5-year term

Warrant term

5 years

Exercise period from date of issuance for settlement warrant

Liquidity

≈$100 million

Approximate liquidity as of Jan 1, 2026

Liquidity growth

1,150%

Year-over-year liquidity increase vs Jan 1, 2025

Cash available

≈$79 million

Cash available within total liquidity as of Jan 1, 2026

Cash, BTC, ETH, deposits

≈$97 million

Cash, BTC, ETH and deposits as of Nov 30, 2025

Historical Context

5 past events · Latest: Jan 07

5 events

1. Jan 07

   Strategic partnership LOI

   24h Move

   +0.0%

   LOI for 1.3 GW power plant to support AI infrastructure.

2. Jan 06

   Liquidity and GPU update

   24h Move

   -2.5%

   Reported ~1,150% liquidity growth and first B200 GPU cluster update.

3. Dec 24

   Shareholder letter

   24h Move

   -1.8%

   Outlined 2025 pivot to AI infrastructure and >$100M liquidity.

4. Dec 08

   CTO appointment

   24h Move

   +7.8%

   Appointed CTO to lead ARMS 200 and NeoCloudz technology roadmap.

5. Dec 03

   GPU cluster deployment

   24h Move

   -4.1%

   Announced ARMS 200 deployment and first NVIDIA B200 GPU cluster.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

warrant, registered direct financing, prospectus supplement, subordinate voting shares

4 terms

warrant financial

"and to issue to Wainwright a warrant exercisable for up to an aggregate of 269,231"

A warrant is a time-limited financial contract that gives its holder the right to buy a company's shares at a set price before a specified date, like a coupon that lets you purchase stock at a fixed discount for a limited time. It matters to investors because warrants offer leveraged exposure to a stock’s upside and can dilute existing shareholders if exercised, so they affect potential gains and the company’s outstanding share count.

registered direct financing financial

"disputed compensation in connection with the registered direct financing the Company"

A registered direct financing is when a company sells newly registered securities directly to a limited number of investors under an existing registration, skipping the broad public marketing of a typical offering; think of it as putting approved items on a store shelf and arranging a private sale to select buyers. Investors care because it can quickly raise cash while creating new shares or debt that may dilute existing ownership, affect the share price and change the company’s financial runway.

prospectus supplement regulatory

"designated news release" for the purposes of the Company's amended and restated prospectus supplement dated"

A prospectus supplement is an additional document provided alongside a company's main offering details, offering updated or extra information about a specific financial product being sold. It helps investors understand the latest terms, risks, and details of the investment, similar to how an update or revision clarifies or expands on original instructions, ensuring they have current and complete information before making a decision.

subordinate voting shares financial

"for up to an aggregate of 269,231 of the Company's subordinate voting shares at a price"

Subordinate voting shares are a type of company stock that typically carry fewer voting rights than regular shares, meaning holders have less influence over company decisions. They are often used to raise capital while allowing founders or main shareholders to retain control. For investors, understanding the difference helps assess their level of influence in company decisions and the potential risks or benefits of holding different types of shares.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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This news release constitutes a "designated news release" for the purposes of the Company's amended and restated prospectus supplement dated November 18, 2025, to its short form base shelf prospectus dated May 15, 2025.

MIAMI, FL / ACCESS Newswire / January 9, 2026 / Digi Power X Inc. ("Digi Power X" or the "Company") (Nasdaq:DGXX)(TSXV:DGX), an innovative energy infrastructure company, today announced that it has entered into a settlement agreement (the "Agreement") with H.C. Wainwright & Co., LLC ("Wainwright") related to certain disputed compensation in connection with the registered direct financing the Company closed on July 23, 2025.

Pursuant to the Agreement, Digi Power X agreed to pay a cash fee of US$840,000.12 and to issue to Wainwright a warrant exercisable for up to an aggregate of 269,231 of the Company's subordinate voting shares at a price of US$2.85 per share for a period of five years from the date of issuance. All securities to be issued pursuant to the Agreement will be subject to the approval of the TSX Venture Exchange.

About Digi Power X

Digi Power X is an innovative energy infrastructure company that develops Tier III-certified modular AI data centers and drives the expansion of sustainable energy assets.

For further information, please contact:

Michel Amar, Chief Executive Officer
Digi Power X Inc.
www.digipowerx.com
Investor Relations
T: 888-474-9222
Email: IR@digihostpower.com

Cautionary Statement

Trading in the securities of the Company should be considered highly speculative. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Statements

Except for the statements of historical fact, this news release contains "forward-looking information" and "forward-looking statements" (collectively, "forward-looking information") that are based on expectations, estimates and projections as at the date of this news release and are covered by safe harbors under Canadian and United States securities laws. Forward-looking information in this news release includes information about the Company's expectations concerning the potential further improvements to profitability and efficiency across the Company's operations, including, as a result of the Company's expansion efforts, potential for the Company's long-term growth and clean energy strategy, and the business goals and objectives of the Company. Factors that could cause actual results to differ materially from those described in such forward-looking information include, but are not limited to: delivery of equipment and implementation of systems may not occur on the timelines anticipated by the Company or at all; future capital needs and uncertainty of additional financing; share dilution resulting from equity issuances; risks relating to the strategy of maintaining and increasing Bitcoin holdings and the impact of depreciating Bitcoin prices on working capital; effects on Bitcoin prices as a result of the most recent Bitcoin halving; development of additional facilities and installation of infrastructure to expand operations may not be completed on the timelines anticipated by the Company, or at all; ability to access additional power from the local power grid and realize the potential of the clean energy strategy on terms which are economic or at all; a decrease in cryptocurrency pricing, volume of transaction activity or generally, the profitability of cryptocurrency mining; further improvements to profitability and efficiency may not be realized; development of additional facilities to expand operations may not be completed on the timelines anticipated by the Company; ability to access additional power from the local power grid; an increase in natural gas prices may negatively affect the profitability of the Company's power plant; the digital currency market; the Company's ability to successfully mine digital currency on the cloud; the Company may not be able to profitably liquidate its current digital currency inventory, or at all; a decline in digital currency prices may have a significant negative impact on the Company's operations; the volatility of digital currency prices; and other related risks as more fully set out in the Annual Information Form of the Company and other documents disclosed under the Company's filings at www.sedarplus.ca and www.SEC.gov/EDGAR. The forward-looking information in this news release reflects the current expectations, assumptions and/or beliefs of the Company based on information currently available to the Company. In connection with the forward-looking information contained in this news release, the Company has made assumptions about, among other things, the current profitability in mining cryptocurrency (including pricing and volume of current transaction activity); profitable use of the Company's assets going forward; the Company's ability to profitably liquidate its digital currency inventory as required; historical prices of digital currencies and the ability of the Company to mine digital currencies on the cloud will be consistent with historical prices; the ability to maintain reliable and economical sources of power to run its cryptocurrency mining assets; the negative impact of regulatory changes in the energy regimes in the jurisdictions in which the Company operates; and there will be no regulation or law that will prevent the Company from operating its business. The Company has also assumed that no significant events occur outside of the Company's normal course of business. Although the Company believes that the assumptions inherent in the forward-looking information are reasonable, forward-looking information is not a guarantee of future performance and accordingly undue reliance should not be put on such information due to the inherent uncertainties therein. The Company undertakes no obligation to revise or update any forward-looking information other than as required by applicable law.

SOURCE: Digi Power X Inc.

View the original press release on ACCESS Newswire

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What did Digi Power X (DGXX) agree to pay in the settlement announced January 9, 2026?

Digi Power X agreed to pay a cash fee of US$840,000.12 as part of the settlement.

How many warrants will H.C. Wainwright receive under the Digi Power X (DGXX) settlement?

Wainwright will receive a warrant exercisable for up to 269,231 subordinate voting shares.

What is the exercise price and term of the warrants in the DGXX settlement?

The warrants have an exercise price of US$2.85 per share and expire five years from issuance.

Why did Digi Power X (DGXX) enter the settlement with H.C. Wainwright?

The company entered the settlement to resolve disputed compensation related to a registered direct financing closed July 23, 2025.

Do the securities from the Digi Power X settlement require approval?

Yes. All securities issuable under the agreement are subject to TSX Venture Exchange approval.