Bitcoin miner-turned-AI-infrastructure provider IREN secured $3.65 billion in financing backed by its cloud computing contract with Microsoft on Monday.
According to a release, the financing facility received investment-grade ratings of A from Fitch and A(low) for DBRS, which the company claims is "the highest publicly rated investment-grade GPU financing announced and the first GPU financing in the U.S. private placement market."
The high ratings helped IREN secure a blended borrowing cost of just 6%, and the financing itself consists of a $2.1 billion U.S. private placement and a $1.55 billion delayed-draw loan.
That, along with customer prepayments from Microsoft, funds roughly 96% of the $5.81 billion in GPU capital tied to the contract, according to IREN.
"Securing investment-grade financing on these terms reflects both the quality of our customer contracts and the fact that we own the data center infrastructure these GPUs run in," co-founder and co-CEO Daniel Roberts said in a statement.
