WhiteFiber closes $310 million convertible note sale for AI expansion

WhiteFiber has closed an upsized $310 million private placement of 5.00% convertible senior notes due in 2032. The offering was increased from an initial $270 million after purchasers exercised a $40 million option.

After transaction expenses and discounts, the company received approximately $298.5 million in net proceeds. WhiteFiber utilized roughly $118.5 million of these funds to facilitate an exchange of $198.15 million in aggregate principal of its existing 4.50% convertible senior notes due in 2031. This exchange, which included the issuance of approximately 6.3 million ordinary shares, reduced the outstanding principal of the 2031 notes to approximately $31.85 million.

The remaining $180 million in proceeds is earmarked primarily for data center expansion, including leasing or purchasing development properties, constructing facilities, signing energy service agreements, and purchasing equipment such as GPU servers for the company’s cloud business. CEO Sam Tabar stated the transaction materially enhances liquidity and provides greater capital certainty as the company completes the first phase of its NC-1 project.