TeraWulf upsizes private offering to $900 million to fund Texas data center expansion
TeraWulf increased its private offering to $900 million to fund the expansion of its Texas data center for AI operations.Summary
TeraWulf Inc. has upsized its planned private offering of convertible senior notes due 2032 to $900 million, an increase from the previously proposed $500 million. The company is pivoting from core bitcoin mining toward building artificial intelligence data facilities, with proceeds earmarked primarily for constructing its Abernathy, Texas data-center campus. The zero-coupon notes carry a 37.5% conversion premium based on Wednesday's closing price. This move aligns with a broader industry trend where bitcoin miners are retooling for AI/HPC infrastructure, causing analysts like those at JPMorgan to note a "decoupling" of their valuations from the price of bitcoin. TeraWulf has also recently announced a significant joint venture with Fluidstack, backed by Google, to expand its AI compute hosting capabilities.
(Source：The Block)