Mitesco's Centcore Division Targets Tennessee for Data Center Expansion and Potential Acquisitions

Mitesco, Inc. announced that its Centcore data center division is evaluating multiple locations across Tennessee as part of a strategic expansion initiative aimed at accelerating revenue growth, improving operating margins, and positioning it as a national provider. The company's assessment of Tennessee focuses on lower-cost facilities, attractive power economics, and a strong base of technical resources that could enhance profitability.

Brian Valania, General Manager of Centcore, stated that the company is assessing both the acquisition of an existing facility and the deployment of its own 'small-format' buildout approach. This small-format strategy may enable entry into multiple markets quickly with significantly lower upfront expenditure compared to large-format models embraced by competitors. Valania identified several promising sites near Nashville and rural locations with favorable power infrastructure and building attributes suitable for conversion into efficient operating environments.

A core factor behind Centcore's interest in Tennessee is the state's competitive power pricing, often among the lowest industrial electricity rates in the United States, driven largely by the stability and scale of the Tennessee Valley Authority (TVA). Centcore's assessment highlights several advantages including lower operating expenses for high-density compute and AI workloads, more predictable long-term pricing versus many other regions, strong grid reliability suitable for data center expansion, and higher-margin service delivery for colocation, GPU hosting, and managed AI infrastructure.

Mack Leath, CEO of Mitesco, reaffirmed the company's strategy to drive higher revenue levels through both organic growth and strategic acquisitions. The company has begun conversations with investment banking professionals about a substantial financing facility designed to support Centcore expansion, software initiatives, and potential acquisition opportunities. Leath noted they are evaluating the possibility of acquiring a larger, established technology provider with a meaningful user base that could benefit from Mitesco's software platforms and small-format, lower-cost data center approach. These steps align with the company's long-term vision of uplisting its common stock to a senior national exchange.

Mitesco emphasized that expanding Centcore's footprint directly supports its AI-driven software ecosystem, including RoboAgent, the company's real-estate automation platform. As AI workloads become more compute-intensive, having a cost-optimized domestic data center network becomes a competitive advantage. A Tennessee presence would allow support for both internal AI offerings and new enterprise clients with secure, flexible, and cost-efficient infrastructure. Additional information about Centcore's services can be found at https://www.centcoreusa.com.

The expansion initiative represents a strategic move in the competitive data center market, where power costs and infrastructure efficiency increasingly determine profitability. Tennessee's power advantages could position Centcore to offer more competitive pricing for AI and high-performance computing services, potentially disrupting traditional data center economics. For enterprise clients, this expansion could translate to more affordable and reliable infrastructure options, particularly for AI workloads that require substantial computing resources.

Industry observers note that the small-format approach represents an emerging trend in data center deployment, allowing companies to enter markets with lower capital expenditure while maintaining operational flexibility. This strategy could enable Centcore to establish multiple regional presences more rapidly than competitors relying on large-scale facilities. The company's focus on Tennessee also highlights the state's growing importance as a data center hub, leveraging its power infrastructure and geographic advantages.

Forward-looking statements in the announcement indicate the expansion plans are subject to various factors including financing availability and market conditions. Investors can review additional information about the company through Securities and Exchange Commission filings available at https://www.sec.gov. The Tennessee expansion initiative reflects broader industry trends toward regional data center deployment and cost optimization strategies in response to growing demand for AI and high-performance computing infrastructure.