Anchor Agreement With Nscale Brings 40 MW, $865 Million Commitment to WhiteFiber’s NC-1 Campus
WhiteFiber (NASDAQ: WYFI) has taken a significant step in the competitive AI infrastructure space, securing a landmark 10-year, $865 million colocation agreement with Nscale Global Holdings at its NC-1 data center campus in North Carolina. This move delivers 40 megawatts (MW) of high-density critical IT load, split over two deployment phases, making Nscale the campus’s anchor tenant and highlighting accelerating demand for specialized AI computing environments.
Key Deal Terms Show Strong Revenue Stream and Capacity for Future Growth
The agreement between WhiteFiber’s subsidiary, Enovum Data Centers Corp., and Nscale covers the first 40 MW of the campus’s critical IT load, with potential expansion on the horizon. Nscale will receive phased access to this capacity—20 MW scheduled for billing commencement on April 30, 2026, and the remaining 20 MW one month later. Annual rate escalators of 3% on recurring fees and additional non-recurring installation charges further boost contracted revenue predictability for WhiteFiber.
| Agreement Highlights | Details |
|---|---|
| Capacity | 40 MW (in two 20 MW phases) |
| Total Contract Value | $865 million (10 years) |
| Annual Rate Escalators | 3% per year on recurring service fees |
| Lease Structure | Modified-gross colocation with passthroughs, milestone-based payments |
| Facility Power Density | Up to 150 kW per cabinet, average PUE target: 1.3 or better |
| Start Dates | First 20 MW: April 30, 2026; Next 20 MW: May 30, 2026 |
Institutional Financing and Strategic Expansion Position WhiteFiber for Further AI Market Growth
WhiteFiber’s proactive approach to site equity—having already invested $150 million—puts it in a favorable position for institutional financing, with a credit facility expected to be formalized in early Q1 2026. Flexible financing options, such as an accordion facility, are in advanced discussion, aiming to fund not only NC-1 construction but also future expansions as commercial demand increases.
The company is evaluating credit enhancement strategies, including investment-grade structures, to secure attractive lending terms. Securing Nscale as an anchor tenant not only stabilizes income projections but also bolsters confidence for additional lenders and potential future customers. Priority notification rights for Nscale on further capacity offer WhiteFiber strategic commercial agility as they expand beyond the current 40 MW scope.
Facility Engineering and Operational Design Address AI-Hyperscaler Demands
WhiteFiber’s NC-1 facility features Tier 3-equivalent design, with redundancy and cooling engineered for up to 150 kW per cabinet. Backed by a 99 MW Duke Energy supply agreement and a site potential up to 200 MW (pending upgrades), the infrastructure is designed specifically to cater to demanding, large-scale AI and HPC workloads. With a targeted power usage effectiveness (PUE) of 1.3 or better, WhiteFiber’s focus is on operational efficiency as well as speed to deployment.
Takeaway: Strategic Client Selection and Scalable Platform Cement WhiteFiber’s AI Colocation Strategy
This $865 million deal validates WhiteFiber’s focus on engineered, high-performance environments tailored for the rapidly evolving AI market. By securing a global hyperscaler like Nscale, WhiteFiber anchors the commercial foundation of its NC-1 campus and unlocks both institutional financing and pipeline growth for new sites scheduled for late 2026 and beyond.
With a cautious, customer-first approach and advanced facility engineering, WhiteFiber has established a scalable platform primed for expanding AI infrastructure demands. The eyes of the market will now turn to the completion of NC-1 and future deals as the company leverages this anchor agreement into continued sector leadership.
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