Cryptominer and AI data center operator TeraWulf is looking to raise $3 billion from either the high-yield bond or leveraged loan market.

The company's CFO Patrick Fleury told Bloomberg that Morgan Stanley is arranging the potential transaction, which could launch next month.

Lake Mariner terawulf
– Lake Mariner

The fundraising could be backstopped by Google, something that should give the debt a higher rating.

Google took a 14 percent stake in the company earlier this year, alongside TeraWulf scoring a deal with AI cloud firm Fluidstack

Fluidstack plans to lease 360MW of critical IT load from TeraWulf's Lake Mariner data center campus in New York, in a 10-year deal also backed by Google.

Earlier this week, Fluidstack signed a separate 10-year deal with Cipher Mining, with Google backstopping $1.4bn of Fluidstack’s lease obligations. Again, Google took a stake in Cipher, this time around 5.4 percent.

Similar to Terawulf, Cipher is expected to raise debt in the capital markets to help fund the deal.

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