TeraWulf pursues $3.5B financing package for Kentucky AI facility tied to Anthropic: Sources
The cryptocurrency mining firm TeraWulf is pursuing $3.5 billion in debt financing through Morgan Stanley to fund its Kentucky-based data center facility, which has been leased to artificial intelligence firm Anthropic.
TeraWulf, a publicly-traded Bitcoin mining enterprise based in the United States, is working to secure $3.5 billion through debt financing to further develop its Justified Data campus located in Kentucky, according to reports. The property has been secured through a long-term lease arrangement with Anthropic, an AI technology firm.
According to statements from TeraWulf's chief financial officer Patrick Fleury reported by Bloomberg on Thursday, the financing initiative is anticipated to commence this year, with Morgan Stanley serving as the lead investment bank orchestrating the fundraising effort.
According to the report, the financing package may comprise a combination of leveraged loans and high-yield bonds, representing TeraWulf's initial foray into the leveraged loan marketplace.
This development follows closely after TeraWulf entered into a 20-year lease contract with Anthropic for the Kentucky-based facility, demonstrating how the surging demand for artificial intelligence computing infrastructure is opening up novel financing pathways for data center operators.
Previous capital-raising activities by TeraWulf have featured billion-dollar transactions
Located in Hawesville, Kentucky, the Justified Data campus represents a major data center development initiative designed to accommodate AI computational workloads, with the first phase of operations slated to begin during the latter half of 2027 and complete construction anticipated in early 2028.
According to TeraWulf's projections, the facility is positioned to produce approximately $19 billion in revenue under contract throughout the initial lease period with Anthropic.
This $3.5 billion debt financing effort comes on the heels of the company's earlier capital-raising initiatives, which included a $1.3 billion raise completed in December 2025 and another $3.2 billion offering in October 2025.
Cointelegraph contacted both TeraWulf and Morgan Stanley seeking comments regarding the reported financing arrangement but had not heard back from either organization at the time of publication.
Questions emerge regarding TeraWulf's insider trades and business expansion strategy
In recent weeks, TeraWulf has attracted investor inquiries concerning insider equity sales, alignment with shareholder interests and wider questions surrounding the company's expansion strategy.
During Thursday's analysis, Blocksbridge Consulting, a Bitcoin mining advisory firm, cited TeraWulf as a case study illustrating the investor scrutiny surrounding insider stock transactions at Bitcoin mining operations that have experienced gains from AI-related market momentum.
Additionally, TeraWulf has encountered questions about the financial viability of its AI-focused data center business model. During a McNallie Money podcast appearance on Tuesday, Fleury challenged a short-seller's financial model that projected elevated maintenance expenditures for TeraWulf's data center operations. He contended that the company's responsibility centers on delivering power supply and facility infrastructure, whereas customers bear responsibility for their own computing hardware and technology refresh cycles.
According to Fleury's explanation, the company's long-duration lease framework minimizes the ongoing upgrade expenses and reconfiguration investments that are conventionally linked with data center operations.