UK's Nscale Secures $3.36 Billion in Financing to Expand AI Infrastructure

en.Wedoany.com Reported - UK-based AI cloud infrastructure company Nscale has completed a $3.36 billion convertible loan note financing, led by Third Point, with participation from Nvidia, funds under Apollo, Citadel, Hudson Bay Capital, the Abu Dhabi Investment Council, and 8090 Industries, among others. The financing will be provided in two tranches, with $2.36 billion available at closing, while Nvidia has separately committed $1 billion, expected to be funded in mid-November. The notes will automatically convert into ordinary shares upon Nscale's completion of an initial public offering, with the portion held by Nvidia converting into non-voting shares.

The proceeds will be used to expand Nscale's vertically integrated AI cloud infrastructure, covering behind-the-meter power, liquid-cooled AI data centers, large-scale GPU clusters, and compute, networking, and storage systems. Nscale's total contracted value has now exceeded $103 billion, serving hyperscale cloud providers, frontier model labs, AI companies, and large enterprise customers.

Nscale has secured multiple large-scale financings for GPU and data center buildouts this year. In February, the company signed a $1.4 billion GPU-backed delayed draw term loan for GPU cluster deployments in Norway, Portugal, Iceland, and the UK. At the end of August, it closed approximately $3 billion in two senior secured delayed draw loans to support two AI infrastructure campuses in Ward County, Texas, and Madison, North Carolina, in the US, with capacities of up to $1.85 billion and $1.2 billion respectively, primarily for GPU, networking, storage, and liquid-cooling equipment deployment.

Nscale's existing power project pipeline has expanded from approximately 750MW at its founding to more than 10GW, as it simultaneously expands AI data centers and compute clusters across Europe and the US. Public filings show that the company currently operates 5 data centers and plans to continue adding data center assets, with the new financing to be used for global data center construction and GPU deployment.