K Wave Media abandons its Bitcoin reserve plan, reallocating $485 million to AI infrastructure

According to Bitcoin Magazine’s report on May 5, Nasdaq-listed company K Wave Media said it is abandoning its bitcoin treasury plan and shifting to an artificial intelligence infrastructure business. The company’s board has approved redirecting the remaining $485 million under the Anson Funds amended agreement to data centers, GPU computing, and related acquisitions.

Strategic pivot: divest media operations and eliminate debt

According to Bitcoin Magazine, K Wave Media plans to divest its traditional media business by selling its wholly owned subsidiary Play Co. to its former majority holder. The deal requires shareholder approval at the annual general meeting scheduled for early July. If the transaction is completed, it is expected to eliminate approximately $48 million in debt and related contingent liabilities.

According to Bitcoin Magazine, management said the move will keep the company’s “remaining liabilities at the lowest possible level,” and will give it more flexibility in deploying funds into new business areas.

Anson Funds financing structure adjustment

According to Bitcoin Magazine, K Wave Media and Anson Funds amended a prior securities purchase agreement. Last year, Anson Funds committed to provide up to $500 million, originally intended to support K Wave Media’s bitcoin treasury strategy. Under the amended agreement, the remaining $485 million under the deal can be used for AI infrastructure, including data center construction, GPU computing, and leasing operations, as well as acquisitions or partnerships along what it calls the “AI infrastructure value chain.”

According to Bitcoin Magazine, K Wave Media’s bitcoin treasury plan was initially announced in June 2025, when it had helped drive a sharp rise in the company’s share price.

Share price reaction and CEO stance

According to Bitcoin Magazine, after K Wave Media announced the above news, the share price fell by more than 25% over the week, with the decline widening further in Tuesday pre-market trading.

According to Bitcoin Magazine, CEO Ted Kim said the pivot is intended to make K Wave Media a “meaningful participant in ongoing AI buildout.” The company said it will pursue targeted acquisitions and partnerships to support vertical integration in AI infrastructure, with the goal of locking in long-term contract revenue.

FAQ

After K Wave Media abandons its bitcoin treasury plan, what businesses will the $485 million be used for?

According to Bitcoin Magazine, the amended agreement allows K Wave Media to use $485 million for data center construction, GPU computing and leasing operations, as well as acquisitions or partnerships along the AI infrastructure value chain. The company plans to rename itself Talivar Technologies.

What was Anson Funds’ financing originally meant for? How is it being adjusted now?

According to Bitcoin Magazine, Anson Funds committed to provide up to $500 million last year to support K Wave Media’s bitcoin treasury strategy. Under the amended agreement, the remaining $485 million has been redirected to AI infrastructure.

How did K Wave Media’s share price perform after it announced the pivot?

According to Bitcoin Magazine, after K Wave Media announced the above strategic pivot, the share price fell by more than 25% over the week, with the decline widening further in Tuesday pre-market trading.