Applied Digital Secures $550 Million Credit Facility to Fuel Growth in AI and Data Services

Applied Digital Corporation (NASDAQ: APLD), a prominent player in the design, construction, and operation of high-performance data centers for artificial intelligence (AI) and blockchain applications, has announced the successful closure of a revolving credit facility amounting to $550 million. The announcement, made on June 8, 2026, highlights the company's strategic initiatives to bolster its operational capabilities and expand its data center projects.

The credit facility, which was arranged by Goldman Sachs, comprises a committed capacity of $350 million, along with an accordion option that allows for an additional $200 million. This financial maneuver aims to support both pre- and post-lease developments associated with the company's growing data center projects, as well as to provide working capital and cover general corporate expenses.

Saidal Mohmand, CFO of Applied Digital, emphasized the significance of this funding. "The strong support we received from this syndicate of leading financial institutions underscores the scale of the opportunity before us and the confidence our banking partners have in our ability to execute,” Mohmand stated. He elaborated that as demand for AI and high-performance computing infrastructure surges, this credit facility will enhance the company’s flexibility in advancing its development pipeline while adhering to a disciplined capital allocation strategy.

The CFO expressed optimism about the facility's potential to reinforce the quality of Applied Digital's platform, strengthen customer relationships, and enhance long-term value creation for its stakeholders.

The revolving credit facility is secured by specific non-data center project assets and features a maturity date set for May 29, 2029. The interest rates on the facility are structured as either the Secured Overnight Financing Rate (SOFR) plus 225 basis points or at the Alternative Base Rate plus 125 basis points, offering a competitive edge in financial maneuverability.

In conjunction with the credit facility announcement, Applied Digital revealed a Memorandum of Understanding with CoreWeave, dated June 5, 2026. This agreement pertains to the assignment of the lease for Building 3 at the Polaris Forge 1 campus to a subsidiary of CoreWeave, contingent upon that subsidiary achieving an investment-grade credit rating. This partnership is expected to enhance operational synergies and drive further growth in AI-centric services.

Goldman Sachs played a pivotal role as the Lead Left Arranger Bookrunner for the credit facility, with First National Bank of Omaha, Mizuho Bank, Royal Bank of Canada, Banco Santander, and Wells Fargo Bank serving as Joint Lead Arrangers and Joint Bookrunners. First National Bank of Omaha also holds the positions of Administrative Agent and Collateral Agent under the Credit Facility.

Founded in 2021 and headquartered in Dallas, TX, Applied Digital has swiftly established itself as a leader in the high-performance data center sector. Recognized as the Best Data Center in the Americas in 2025 by Datacloud, the company specializes in delivering secure, scalable compute solutions for AI, networking, and blockchain workloads. Its innovative Polaris Forge AI Factory model not only focuses on technological excellence but also aims to create economic opportunities in underserved communities.

As Applied Digital moves forward with this robust financial backing, it appears poised to capitalize on the burgeoning demand for AI infrastructure while further strengthening its market position and operational capabilities.