TeraWulf Prices $900M Zero-coupon Convertible Notes To Fund Texas Data Center Expansion

Digital infrastructure firm TeraWulf has upsized and priced its offering of $900 million Convertible Senior Notes due 2032, sold to institutional buyers under Rule 144A. The notes are zero-coupon instruments, meaning they carry no interest, but investors can convert them into shares at favorable terms.

Each $1,000 note may be converted into approximately 50.16 TeraWulf shares at a $19.94 conversion price — a 37.5% premium over the firm’s $14.50 closing stock price on October 29, 2025.

TeraWulf expects roughly $877.6 million in net proceeds, with an option for buyers to purchase an additional $125 million in notes. If exercised, proceeds could reach nearly $1 billion. Funding will support the build-out of TeraWulf’s emerging low-carbon data center hub in Abernathy, Texas, designed to expand environmentally efficient computing capacity.

The financing highlights rising institutional interest in digital-infrastructure-backed assets and supports TeraWulf’s strategy to scale sustainable facilities powering data-intensive industries, including AI and blockchain.

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