Rumble Inc. (NASDAQ:RUM) shares surged on Monday after the company reported second-quarter results and confirmed interest in an all-stock exchange offer to acquire Northern Data AG (OTC:NDTAF). The company posted a net loss of $30.

Rumble Inc. is weighing an offer to buy German data center company Northern Data AG in an all-stock deal valuing the target at about $1.17 billion that would boost the conservative video service’s bid to become a cloud-computing provider.

RUM shares rally as company reveals interest in buying Northern Data. Here's why Rumble stock price surge may fail to sustain moving forward.