Iren Secures $3.65B Investment-Grade GPU Financing to Back $3.4B Microsoft AI Contract
IREN•IREN secured a $3.65 billion investment-grade GPU financing facility, the highest-rated public GPU financing and first U.S. private placement, to back its $3.4 billion five-year AI cloud contract with Microsoft. The deal leverages contracted GPU capacity and owned Childress, Texas data centers as collateral, lowering IREN's cost of capital.
1. Financing Facility Details
IREN closed a $3.65 billion investment-grade GPU financing facility, marking the highest-rated public GPU financing and the first U.S. private placement of its kind. The fully subscribed deal provides institutional capital for its AI infrastructure expansion.
2. Support for Microsoft AI Contract
The financing backs IREN’s $3.4 billion managed services AI cloud contract with Microsoft, supplying NVIDIA GPUs over a five-year term across four data centers in Childress, Texas. GPU and ancillary equipment purchases totaling $1.6 billion are set to be paid in installments following each Dell shipment tranche.
3. Collateral and Capital Efficiency
Contracted GPU capacity and ownership of data center sites secure the facility, enabling investment-grade terms that reduce IREN’s cost of capital. This structured finance approach broadens access to institutional funding while avoiding equity dilution and high-interest debt.
4. Infrastructure Scale and Partnerships
IREN is scaling AI infrastructure with NVIDIA on up to 5 GW of buildout, including a 200 MW deployment at the Childress campus within a 750 MW site. Collaboration with Dell ensures rack provisioning and services to support its rapid data center expansion strategy.
