Overview

• Google agreed to backstop $1.4 billion of Fluidstack’s lease obligations and will receive warrants for about 24 million Cipher shares, or roughly 5.4% pro forma equity.
• The 10-year agreement calls for 168 megawatts of critical IT load at Barber Lake in Colorado City, Texas, with Cipher retaining full project ownership.
• Two optional five-year extensions could lift the total contract value from roughly $3 billion to about $7 billion, and the site has expansion potential toward 500 megawatts.
• Cipher launched an $800 million private offering of convertible senior notes due 2031, with an option to raise an additional $120 million, to fund HPC data centers across its 2.4-gigawatt pipeline.
• Shares swung sharply on the news, jumping premarket before turning lower later in the day as investors weighed financing, dilution and execution timelines.