From Sneakers to AI: Allbirds soars 800% on $50 Million GPU pivot

Allbirds’ recent move to transition into a AI company and become a fully integrated GPU-as-a-Service (GPUaaS) and AI-native cloud solutions provider comes amid the wider AI boom in the market.

The company’s $50 million deal is expected to be closed by the second quarter of the calendar year 2026.

“Allbirds Inc. today announced the execution of a definitive agreement with an institutional investor for a $50 million convertible financing facility. The facility, which is expected to close during the second quarter of 2026, will enable the company to pivot its business to AI compute infrastructure,” according to the official release.

AI pivot & dividend issue

As Allbirds now aims to become a GPUaaS and AI-native cloud solutions provider, the company will change its name to “NewBird AI” after the successful transition of the business from existing operations, as per the official release.

The transition needs to have the company shareholders approval in the next special meeting scheduled for the stockholders on May 18, 2026.

After the transition the company plans to acquire high-performance GPU assets, which will be deployed to serve customers requiring dedicated access to AI compute capacity.

Over time the company also aims to grow its neocloud platform by expanding its compute and service offerings, deepening partnerships with operators and customers, and evaluating strategic M&A opportunities.

Along with the AI transition update, the company also announced that if shareholders approve of the asset sale, the company plans to issue a special dividend during the third quarter of 2026 with the record date as of May 20, 2026.

“As a result of these transactions, the Allbirds brand and legacy will continue under the ownership of American Exchange Group for the benefit of all of its customers, investors as of the dividend record date will receive a special dividend, and investors who elect to continue to hold NewBird AI stock will be invested in a growing AI compute infrastructure business supported by the facility,” according to the release.

Over 800% rally

Allbirds stock rallied 876% to hit its intraday high of $24.31 apiece during Wednesday’s trading session on Nasdaq, compared to $2.49 at the previous US stock market close, according to MarketWatch data.

Shares of Allbirds started its rally since the opening bell on April 15, surging to $6.82 at 9:30 am (EDT). MarketWatch data also showed that during the day, the trading volumes of the stock witnessed an 6,341% rise compared to an average trading day.

After the trading session on Wednesday, Allbirds shares closed 582% higher at $16.99, compared to the previous market close levels of $2.49 per share, MarketWatch data showed. However, in the after market hours, the stock lost 24% closing at $12.86 per share.

Allbirds share price trend

Allbirds shares were listed on the Nasdaq in November 2021, and since then the shoemaker’s stock lost more than 96% on the US stock market. The exchange data also showed that the company’s shares have gained over 270% in the past year.

Soon to be a GPUaaS and AI solutions provider, Allbirds shares hit their 52-week high of $24.31 during the trading session on April 15, while the 52-week low level was at $2.15 apiece.

Allbirds’ market capitalisation (M-Cap) stood at $147.98 million as of the stock market close after Wednesday’s session.