WhiteFiber Announces Closing of $230.0 Million Convertible Senior Notes Offering and Zero-Strike Call Option Transaction

Core Viewpoint - WhiteFiber, Inc. has successfully closed a private placement of $230 million in convertible senior notes, aimed at enhancing its AI infrastructure and high-performance computing capabilities [1][2]. Group 1: Financial Details - The notes have an initial conversion price of approximately $25.91 per share, which is a 27.5% premium over the last reported sales price on January 21, 2026 [2]. - The net proceeds from the offering amount to approximately $221.5 million after deducting discounts and estimated expenses [2]. - A zero-strike call option was negotiated to offset potential dilution from the notes, effectively increasing the conversion price to approximately $37.01 per share, resulting in a net share exposure of about 3 million shares [3]. Group 2: Use of Proceeds - Approximately $120 million of the net proceeds will be used to cover the cost of the zero-strike call, while the remaining funds will primarily support data center expansion, including property acquisition, construction, energy service agreements, and potential partnerships [4]. - The company anticipates closing a project-level debt facility for its NC-1 data center development in the first quarter of 2026, viewing this convertible financing as complementary to its non-dilutive project financing strategy [5]. Group 3: Company Overview - WhiteFiber specializes in AI infrastructure solutions, owning HPC data centers and providing cloud services designed to maximize performance and efficiency for generative AI workloads [8].