Soluna Buys Texas 150MW Wind Farm for $53M to Power AI, Bitcoin Data Centers
Soluna has acquired a nearly 150-megawatt wind farm in Texas for about $53 million, deepening its push to vertically integrate power supply with data center development as energy constraints tighten across the AI and bitcoin mining sectors.
The company said it closed the transaction on April 1, purchasing 100% of the Briscoe Wind Farm from a group of sellers, including JPM Capital Corp. and Morgan Stanley Wind LLC. The project, located in Briscoe and Floyd counties, has a nameplate capacity of roughly 150 MW and is already connected to the ERCOT grid.
The deal was financed with a mix of balance sheet cash and $12.5 million in new debt under an amended credit facility with Generate Capital. That new “Tranche C” loan carries an interest margin of 8 percentage points over SOFR, or 7 percentage points over an alternate base rate.
At current market conditions, that implies an effective borrowing cost of roughly 11.5% to 12.5%, assuming SOFR in the 3.5% to 4.5% range and taking into account the facility’s 3.5% floor. That places Soluna’s cost of capital broadly in line with other sub-investment-grade financings tied to data center and AI infrastructure, where lenders have demanded double-digit returns to compensate for execution and market risks.
The acquisition is expected to be immediately cash-generative, with Soluna projecting first-year adjusted EBITDA of $6 million to $11 million and annual revenue of $20 million to $24.4 million, depending on power market conditions in Texas.
Beyond the near-term financial contribution, the deal marks a strategic shift for the company. By owning the underlying generation asset, Soluna effectively eliminates reliance on third-party power purchase agreements for its Dorothy data center campus and gains greater control over long-term energy costs.
The Briscoe wind farm sits adjacent to Soluna’s existing Dorothy 1 and Dorothy 2 facilities, and is expected to support the planned development of “Dorothy 3,” a potential 300 MW expansion designed for AI and high-performance computing workloads.
As part of the financing amendment, the wind project has been folded into Soluna’s broader credit structure, which now supports multiple data center developments. The facility includes typical project finance features such as asset-level collateral, cash sweep provisions and minimum debt service coverage ratios, though those covenants will not apply to the Briscoe asset until after mid-2026.
Soluna also issued warrants to an affiliate of Generate Capital as part of the deal, giving the lender the right to purchase up to 2.7 million shares at exercise prices ranging from near zero to $0.75, adding an equity-linked component to the financing package.
The transaction reflects a broader trend across the compute infrastructure sector, where companies are increasingly seeking “energy-first” strategies. With grid interconnection delays and rising power prices becoming bottlenecks, operators are turning to direct ownership of generation—particularly wind and solar—to secure capacity and improve unit economics.
Soluna’s model, which co-locates data centers with renewable energy assets to capture otherwise curtailed power, has gained traction as demand for AI compute accelerates. The addition of the Briscoe project not only expands its generation footprint but also positions the company to scale its data center pipeline, which it said exceeds 4 gigawatts across multiple sites.
