IREN Expands $6B Equity Offering, Shares Slide 8.5%
IREN expanded its at-the-market equity program to $6 billion, representing roughly 50% of its market capitalization, triggering an 8.5% stock drop on dilution concerns. It also secured purchase agreements for over 50,000 Nvidia B300 GPUs, raising its AI data-center fleet to 150,000 units targeting $3.7 billion revenue.
1. Equity Offering Expansion
IREN filed a prospectus supplement replacing its previous $1 billion at-the-market program with a $6 billion capacity, enabling gradual share issuances through a syndicate of banks for general corporate purposes, including data-center expansion, hardware acquisitions, and working capital.
2. Investor Reaction
Shareholders reacted with an 8.5% drop in a single session as the enlarged ATM facility raised dilution concerns reminiscent of past meme-stock issuances, with the capacity equal to roughly half the company’s market capitalization.
3. AI Infrastructure Investment
The company secured purchase agreements for over 50,000 Nvidia B300 GPUs, boosting its total fleet to 150,000 units and projecting the expanded AI Cloud segment will achieve $3.7 billion in annualized run-rate revenue by late 2026.