Key Highlights
- Datavault AI (DVLT) finalized a binding term sheet with Scilex Holding (SCLX) for a $120M investment
- The financing structure grants Scilex revenue-sharing rights: 30% until reaching $250M, 15% until $1.2B, then 5% thereafter
- Capital deployment targets quantum-resistant GPU edge computing infrastructure spanning approximately 100 metropolitan areas
- New York and Philadelphia slated as inaugural markets with Q2 2026 launch timeline
- Company reports holding Nvidia GPU inventory valued at approximately $1.2 billion at current prices
Datavault AI (DVLT) has entered into a binding term sheet agreement with Scilex Holding (SCLX) that brings $120 million in fresh capital to support an ambitious nationwide GPU infrastructure expansion. The financing mechanism relies on revenue participation instead of traditional equity, preserving the ownership stake of current DVLT investors.
The payment arrangement operates on a sliding scale. Scilex earns 30% of aggregate network revenues until collecting $250 million in total distributions. The percentage then decreases to 15% until aggregate payments reach $1.2 billion. Once that milestone is achieved, the participation rate declines further to just 5%.
The investment will finance construction of what the organization describes as a “quantum-ready edge network” — distributed micro data centers outfitted with quantum-resistant security protocols and GPUs optimized for edge-based artificial intelligence processing.
Datavault AI has selected Available Infrastructure’s SanQtum platform as the foundational technology stack. Each deployment location incorporates zero-trust network architecture, private sovereign cloud capabilities, and localized GPU computing power.
CEO Nathaniel T. Bradley emphasized that the transaction structure enables the company to pursue its infrastructure expansion roadmap while avoiding share issuance. The preservation of shareholder value through this non-dilutive approach represents a central component of the deal’s appeal.
Phased Infrastructure Launch
The deployment follows a multi-year schedule. The parties aim to activate 25 operational sites within the first year post-closing, expand to 50 locations by the two-year mark, and complete the entire 100-city network within three years.
The New York and Philadelphia markets will serve as the initial launch territories, with both facilities projected to commence operations during the second quarter of 2026. The capital injection itself will be released in staggered installments, with all tranches scheduled for completion before year-end 2026.
Datavault AI maintains it currently possesses Nvidia GPU hardware inventory with an estimated market valuation of $1.2 billion, positioning the company to support the coast-to-coast deployment initiative.
Financial Outlook
Available Infrastructure CEO Dan Gregory presented substantial revenue estimates. He suggested each metropolitan market could generate between $100 million and $1 billion in annual revenue, translating to a combined potential of $10 billion to $100 billion across the complete 100-location network.
These figures represent forward-looking projections rather than confirmed outcomes, and the parties have yet to execute a final definitive agreement. Additional negotiations around representations, warranties, and standard contractual provisions remain pending.
Datavault AI additionally highlighted an expected cash position exceeding $200 million when accounting for both the Scilex investment and anticipated proceeds from Bitcoin asset liquidation and outstanding receivables — all achieved without equity dilution.
DVLT shares declined 1.22% while SCLX dropped 3.60% on the announcement date.
Get 3 Free Stock Ebooks
Discover top-performing stocks in AI, Crypto, and Technology with expert analysis.
- Top 10 AI Stocks - Leading AI companies
- Top 10 Crypto Stocks - Blockchain leaders
- Top 10 Tech Stocks - Tech giants
