WhiteFiber Secure $300M Financing for North Carolina Data Center
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Key Takeaways
- WhiteFiber subsidiaries secured a $300 million credit facility led by Morgan Stanley.
- Funding is tied to the 40MW capacity readiness of the NC-1 data center in Madison, North Carolina.
- The facility includes a $200 million initial loan and a $100 million delayed-draw option.
- Interest rates are set at Term SOFR (2.00% floor) plus 6.00% or a base rate (3.00% floor) plus 5.00%.
On November 9, 2026, WhiteFiber subsidiaries Enovum NC-1 Midco, LLC and Enovum NC-1 Bidco, LLC executed a Term Loan Credit Agreement with Morgan Stanley Senior Funding, Inc. serving as the administrative agent and lead arranger. The financing package consists of a $200 million initial term loan and a $100 million delayed-draw facility. Both components of the debt carry a five-year maturity term starting from the date of the first disbursement.
Release of the initial $200 million is predicated on the NC-1 data center in Madison, North Carolina, reaching specific benchmarks. These include the readiness and client acceptance of the first 40 megawatts (MW) of power capacity. While the initial funding is expected within 30 days of the agreement's closing, the contract allows for two 30-day extensions. The subsequent $100 million delayed-draw portion requires the full completion of the 40MW phase and the submission of three months of consecutive financial statements.
The capital will be utilized to cover Phase 1 construction costs, final punch-list items, and necessary reserve accounts. At the borrower's election, loans bear interest at Term SOFR (subject to a 2.00% floor) plus 6.00% per annum, or the base rate (subject to a 3.00% floor) plus 5.00% per annum. Repayment involves quarterly amortization of 2.50% of the principal, which is scheduled to commence on March 31, 2027.
The debt is secured by a comprehensive lien on the assets of the borrowing entities, including a mortgage on the North Carolina facility. Furthermore, White Fiber Operating Partnership LP has provided an unsecured guarantee to cover completion and cost overruns for the first phase. Financial covenants, including debt service coverage and leverage ratios, will be monitored starting in the first quarter of 2027.
