Applied Digital completes $2.35 billion senior secured notes pricing for the expansion of its North Dakota data center

According to GlobeNewswire, Applied Digital (Nasdaq: APLD) announced that its subsidiary APLD Compute has completed the pricing of $2.35 billion in senior secured notes with a coupon of 9.25% due in 2030, priced at 97%, with expected settlement around November 20.

The proceeds will be used to construct the 100 MW and 150 MW data centers ELN-02 and ELN-03 located at the Ellendale site in North Dakota, repay existing loans, replenish debt service reserves, and pay related expenses. The notes are unconditionally guaranteed by multiple subsidiaries and secured by relevant assets and equity as priority collateral. The company stated that it will provide completion guarantees for the aforementioned data centers.