TeraWulf shares fall after upsized $900 million equity raise to fund AI data center buildout
The Block
TeraWulf's shares dropped after pricing an upsized $900 million stock offering to fund AI data center construction.Summary
TeraWulf Inc. (WULF) experienced a stock decline following the pricing of an upsized $900 million common stock offering, intended to finance the construction of its AI data center campus in Hawesville, Kentucky. The offering, which was increased from an initial $800 million target, is expected to close on April 16. The company also reported preliminary first-quarter results, anticipating revenue between $30 million and $35 million and adjusted EBITDA up to $3 million. As of March 31, TeraWulf held $3.1 billion in cash and equivalents against $5.8 billion in total debt. The company's CFO noted a shift towards "long-term, credit-enhanced revenues," with over 50% of first-quarter revenue from HPC hosting.
(Source：The Block)