IREN Secures $3.6B Financing for Microsoft GPU AI Buildout at ~5.9% Cost
IREN has secured about $3.6 billion of debt financing to fund GPU infrastructure tied to its Microsoft cloud-services contract, giving the bitcoin miner-turned-AI infrastructure developer a large pool of project-level capital at an effective interest rate of roughly 5.9% before fees and hedging costs.
The financing, entered into on May 29 through IREN’s wholly owned subsidiary IE US Hardware 3 LLC, consists of about $1.5 billion in delayed draw term loans and $2.1 billion of senior notes due Dec. 31, 2031, according to a filing with the SEC on Monday. The proceeds will partially fund GPU infrastructure and related costs for IREN’s agreement with Microsoft to provide dedicated GPU services in tranches at its data center facilities in Childress, Texas.
The structure places IREN within a widening wave of AI infrastructure financings, where lenders are increasingly underwriting projects against GPUs, hyperscaler-backed contracts, power access and data center infrastructure. Year-to-date, CoreWeave (NASDAQ: CRWV), Core Scientific (NASDAQ: CORZ), and Hut 8 (NASDAQ: HUT) alone have collectively secured loan facilities of over $15 billion backed by GPU hardware and infrastructure builtout.
