Crypto -Mine Company Terawulf (WULF) plans to raise $ 3 billion in debt to expand its data entre operations in a deal supported by Google as AI infrastructure’s arms run intensified.
The company, Bloomberg, reports, citing Terawulf CEO Patrick Fleury, is partnering with Morgan Stanley to arrange the financing that could be launched already next month through bonds with high dividends or geared loans.
Credit rating agencies assess the agreement, and Google’s support can help it secure a stronger credit rating than would be typical of the company.
The AI industry’s hunger for data center, chips and electricity has attracted crypto-mining workers unlikely partners who already control the effective infrastructure that can be recycled for AI work stresses.
Google, which recently increased its backstop for Terawulf to $ 3.2 billion, now has a 14% share in the company. This support helped AI Cloud Platform Fluidtack expand its use of a Terawulf-Run data center in New York in August.
Other crypto-native companies follow. Cipher Mining signed a similar deal with Google and Fluidtack this week. Google will also backstop $ 1.4 billion in obligations associated with this agreement and take an equity share in Cipher.
Terawulf shares fell about 1.3% in Friday’s trade session and were unchanged in trade after hours.
