According to The Information, Nvidia plans to invest an initial $2 billion for roughly a 20% stake in Lancium. That would value Lancium and its portfolio of land and power connections at about $10 billion on an enterprise value basis. Nvidia could invest another $1 billion if Lancium meets certain milestones, including securing grid hookups.
The investment would also tie Nvidia more closely to Stargate, the large AI infrastructure project backed by OpenAI, SoftBank (SFTBY), and Oracle Corporation (ORCL). Stargate was announced in January with plans for up to $500 billion in spending on U.S. AI infrastructure.
On Friday, NVDA shares rose 2.27%, closing at $223.96. The stock is up about 20% year-to-date.
Nvidia Gains Exposure to the Physical Infrastructure
Lancium owns the 1,000-acre Lancium Clean Campus in Abilene, Texas, which serves as Stargate’s first operational site. The company develops power infrastructure for large computing facilities, making access to land and electricity a key part of its value.
