Google-backed bitcoin miner TeraWulf plans $3B debt-funded data center expansion - report

• TeraWulf, a Bitcoin mining company, plans to raise approximately $3 billion to enhance its data center operations, supported by Google's financial backing.

• The funding will be sought through the high-yield bond market or leveraged loans, with Morgan Stanley coordinating the transaction.

• Google's commitment includes $1.4 billion for debt financing, totaling $3.2 billion in support for TeraWulf's expansion efforts.

Recommendation Rating: Strong Expansion Strategy

TeraWulf, a Bitcoin mining company, is making ambitious plans to raise around $3 billion to bolster its data center operations. This initiative is supported by Google (NASDAQ:GOOG), as confirmed by CFO Patrick Fleury. The company intends to secure this funding through either the high-yield bond market or leveraged loans, as noted in a recent interview with Bloomberg.

Morgan Stanley has been engaged to facilitate this potential transaction, which could commence as soon as October. In addition to the initial $3 billion target, Google's commitment to back the debt financing amounts to another $1.4 billion, bringing the tech giant's total involvement to $3.2 billion.