AGM Group Holdings Inc., an integrated technology company specializing in fintech software services and producing high-performance hardware and computing equipment, announced that the Company, through its subsidiary AGM CANADA HOLDINGS LIMITED (“AGM Canada”), has entered into a partnership agreement (the “Agreement”) with NOWLIT SOLUTIONS CORP. (“Nowlit”), a high performance computing and data center supplier in Canada on October 2, 2024 to establish a joint venture named AGM Energy Corp. (“AGM Energy”). AGM Energy is expected to focus on investing in and operating in clean energy industries and providing high-quality services for the construction and operation of power and data center facilities for the artificial intelligence, big data industries, cryptocurrency, and digital currency industries. The strategic move is set to facilitate the Company’s expansion in the artificial intelligence and cryptocurrency market in North America.
Pursuant to the Agreement, AGM Energy plans to invest in and operate clean energy including oil fields, natural gas fields, and hydropower plants in Canada. AGM Energy intends to actively promote two aspects of business:
(1) Acquiring high-quality energy assets in North America, such as oil fields, natural gas and hydropower plants, through investment or merger and acquisition, and the business income is the proceeds from energy sales.
(2) Providing electricity and operation capabilities to customers in the AI and cryptocurrency industries through the construction of IDC data centers and cryptocurrency mining farms, and its business income is electricity charges and hosting operation management service fees.
Dr. Bo Zhu, Chief Executive Officer of AGM Holdings, commented: “We are excited to partner with Nowlit and establish AGM Energy, which is of strategic significance to support our business expansion in North America. Our gratitude goes to Mr. Chong Chao (Marc) Ma, the Chief Executive Officer of AGM Canada, for spearheading this strategic initiative. We have full confidence in the success of the partnership, given Nowlit’s strong track record of serving industry leaders and public companies in the field of artificial intelligence and cryptocurrency. We plan to invest no less than $30 million by the end of 2024 and no less than $100 million by the end of 2025 to support the business growth of AGM Energy. By the end of 2025, AGM Energy expects to generate no less than $50 million in revenue from its energy business and no less than $100 million in revenue from IDC data centers and cryptocurrency mining farms. We firmly believe that AGM Energy, drawing on the expertise and years of experience from both AGM Holdings and Nowlit in the fields of artificial intelligence, blockchain, and energy, will successfully establish an industry-leading energy technology system. This system will offer comprehensive energy supply chain services to professionals in the global AI and blockchain sectors.”
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