Cipher Mining Inc. (NASDAQ: CIFR) has issued an additional $333 million of 7.125% senior secured notes due November 15, 2030. The private offering was conducted under a Rule 144A exemption and is fully guaranteed by Cipher Barber Lake LLC, a direct subsidiary of the issuer, providing investors with a strong collateral base.
The proceeds will be directed toward construction costs for expanding the Barber Lake high‑performance computing data center near Colorado City, Texas. The expansion is expected to bring the facility’s capacity to 300 MW of critical IT load, a key milestone in Cipher’s broader pipeline of 3.2 GW of new HPC capacity that the company is developing across multiple sites.
Prior to this issuance, Cipher had raised $1.4 billion in senior secured notes on November 13, 2025. The new tranche brings the total outstanding notes due 2030 to $1.733 billion, underscoring the company’s continued use of debt to fund growth while maintaining a cash‑rich balance sheet.
Cipher’s strategic focus has shifted from Bitcoin mining toward AI and HPC hosting. The company recently secured a 10‑year colocation agreement with Fluidstack that will lease the entire 300 MW of critical IT load at Barber Lake, generating high‑margin contracted revenue. Google has backed $333 million of Fluidstack’s lease obligations, providing additional collateral and signaling confidence in the partnership.
Financially, Cipher’s debt‑to‑equity ratio stands at 1.33, reflecting a leveraged but disciplined approach to capital structure. The company’s investment in HPC infrastructure is intended to accelerate revenue growth from AI‑hosting customers while preserving flexibility to repurpose sites for Bitcoin mining if market conditions warrant.
The senior secured notes issuance positions Cipher to meet the accelerating demand for AI compute, expand its HPC footprint, and maintain strategic flexibility for future opportunities in both the AI and cryptocurrency markets.
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