Macquarie Group will invest as much as $5 billion in Applied Digital’s AI data centers, taking a 15% stake in the company, Applied Digital announced. The news sparked a more than 15% surge in the company’s stock during premarket trading.
The deal highlights the growing demand for computing infrastructure to support the rapid advancements in artificial intelligence. Companies, including Applied Digital, have seen substantial investments as businesses rush to train AI models and maintain a competitive edge.
Macquarie’s asset management division has committed up to $900 million for a data center campus currently under development by Applied Digital in North Dakota. Additionally, Macquarie secured a right of first refusal to invest an additional $4.1 billion in future data centers over the next 30 months, according to Applied Digital, which is based in Dallas, Texas.
Wes Cummins, CEO of Applied Digital, stated that the new investment will provide the company with the necessary equity to construct high-power-demand data centers, which are crucial for AI model training.
The capital will also be used to settle the debt Applied Digital incurred during the construction of the North Dakota facilities and enable the company to recover over $300 million of its equity investment, the firm explained.
This deal comes at a time when investors are placing significant bets on AI and data center providers. Over the past two years, Applied Digital’s stock has surged by more than 300%, as the market anticipates robust growth from companies in this sector.
Earlier this month, Microsoft revealed plans to invest around $80 billion in AI data centers in fiscal 2025, further underscoring the increasing demand for computing power to support AI initiatives.
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