IREN Secures $3.65 Billion in GPU Financing Backed by Microsoft AI Contract

On June 1st, according to GlobeNewswire, IREN Limited announced the completion of a $3.65 billion investment-grade GPU financing to fulfill its AI Cloud contract with Microsoft. The financing includes $2.1 billion in U.S. private placements (fixed rate approximately SOFR+2.13%) and a $1.55 billion DDTL loan (floating rate SOFR+2.25%), with an overall weighted debt cost of 6.00%. With customer prepayments, this facility covers approximately 96% of the $5.81 billion GPU capital expenditure under the Microsoft contract at a blended financing cost of approximately 3.31%. The financing is secured by the relevant GPUs and cash flows, supporting IREN's plan to expand its AI Cloud capacity to 480MW by the end of 2026.