WhiteFiber Closes $310 Million Convertible Senior Notes Offering
The company secures funding to enhance AI infrastructure and data centers.
WhiteFiber, Inc. has finalized its upsized private placement of $310 million in Convertible Senior Notes, which will bolster its artificial intelligence infrastructure and high-performance computing capabilities. This offering, which included the full exercise of an option for an additional $40 million, is a significant move for the company as it looks to expand its operations.
The Convertible Senior Notes carry an interest rate of 5.00% and are due in 2032, with an initial conversion price set at approximately $33.84 per share. This price reflects a premium of about 25% over the last trading price of WhiteFiber's ordinary shares on August 18, 2026. The company expects to net around $298.5 million after expenses from this offering.
Approximately $118.5 million of the proceeds will be allocated to cash consideration for existing note exchanges, while the remainder will primarily fund the expansion of WhiteFiber's data centers. Plans include leasing or purchasing new properties for additional facilities, construction efforts, and acquiring necessary equipment, including GPU servers for cloud services.
In conjunction with this offering, WhiteFiber also executed transactions to exchange $198.15 million of its existing 4.500% Convertible Senior Notes due in 2031. This exchange reduced the outstanding amount of those notes to approximately $31.85 million.
Sam Tabar, CEO of WhiteFiber, stated that the completion of this transaction significantly improves the company's liquidity and capital certainty as they progress with their colocation growth strategy. He emphasized that this funding positions WhiteFiber to prepare for greater capacity in their development pipeline.
The notes are available exclusively to qualified institutional buyers under Rule 144A of the Securities Act. They will not be registered under the Securities Act or any state securities laws, which limits their sale in the U.S. unless properly registered or exempted.
This announcement was made public via PR Newswire, detailing WhiteFiber's ongoing efforts to enhance its service offerings in the AI infrastructure space.
This is an independent summary of a press release originally distributed via PR Newswire. GAX Online was not paid for this coverage.
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