Applied Digital Announces Pricing of $2.35 Billion of Senior Secured Notes

Core Viewpoint - Applied Digital Corporation's subsidiary, APLD ComputeCo LLC, has announced a $2.35 billion offering of senior secured notes to fund data center construction and repay existing debt [1][2]. Financing Details - The offering consists of 9.250% senior secured notes due in 2030, priced at an issue price of 97% [1]. - The net proceeds will be used for the construction of 100 MW and 150 MW data centers, repayment of existing credit agreements, funding debt service reserves, and covering transaction expenses [2]. Security and Guarantees - The notes will be fully guaranteed by APLD Compute's existing and future subsidiaries, with first-priority liens on substantially all assets of APLD Compute and the Guarantors [3]. - Applied Digital will provide completion guarantees to ensure timely construction of the data centers [4]. Regulatory Compliance - The notes have not been registered under the Securities Act and will only be offered to qualified institutional buyers [5]. Company Overview - Applied Digital is recognized for its high-performance, sustainably engineered data centers, focusing on AI, cloud, networking, and blockchain workloads [7].