Applied Digital Unit Raises $1.59 Billion for CoreWeave at 7% Yield

1 articles · Updated · Bloomberg · Jun 10

$1.59 billion in junk bonds will fund additional CoreWeave computing capacity in North Dakota through an Applied Digital subsidiary.
The bonds priced to yield 7%, down sharply from the 10% investors demanded when the same project first tapped the market in November.
That drop in borrowing costs reflects a rebound in CoreWeave's credit profile, making data center expansion materially cheaper.
The deal shows risk appetite has improved for AI-linked infrastructure financing, at least for projects tied to stronger perceived credit.