Bit Digital’s Subsidiary Provides $100 Million Loan to Fuel WhiteFiber Data Center Growth
BTBT•Bit Digital Capital, a subsidiary of Bit Digital, has provided WhiteFiber with a $100 million delayed draw term loan facility—potentially up to $150 million—to fund its North Carolina HPC data center build-out and cloud-services expansion. B. Riley Securities purchased a portion of the loans, reducing Bit Digital’s direct exposure.
1. Deal Overview
Bit Digital Capital, a wholly owned subsidiary of Bit Digital, has entered into a $100 million delayed draw term loan facility with WhiteFiber, Inc. The facility provides general corporate funding and may be increased to $150 million upon mutual agreement, with B. Riley Securities purchasing a portion of the loan.
2. Potential Upsize and Use of Proceeds
WhiteFiber plans to use the loan proceeds to complete the first phase of its high-performance computing data center in Madison, North Carolina, and to support expansion of its cloud services and AI infrastructure offerings.
3. Impact on Bit Digital’s Financials
The term loan positions Bit Digital to generate interest income from a strategic financing partnership; the partial sale to B. Riley reduces direct capital exposure while preserving future revenue streams from the retained loan balance.
