1606 Corp. Acquires Majority Stake in Sim Agro to Enhance Data Center and Power Infrastructure
1606 Corp. has signed a definitive agreement to acquire a controlling interest in Sim Agro Inc., a global power-plant operator. This strategic move aims to bolster the Company's capabilities in developing captive power and data center infrastructure, aligning with the growing energy demands of AI and high-performance computing sectors.
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1606 Corp. will acquire a majority interest in Sim Agro, enhancing its energy infrastructure strategy. This includes a pending acquisition of a Texas power-generation property of 132 acres, scheduled to close on May 22, 2026.
The deal involves restructuring existing liens on Sim Agro, potentially lowering the acquisition cost by approximately $4.2 million. With this acquisition, Sim Agro will manage 1606's energy assets, supporting the demand for captive power solutions.
The global captive power generation market is projected to increase from $227.9 billion in 2025 to $310.9 billion by 2030, driven by expanding AI workloads. This partnership positions 1606 to leverage growing energy requirements in data centers, providing a competitive edge amid rising electricity demands.
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