Nvidia in talks to guarantee over $5 billion in construction debt for Nscale's 460MW Anthropic data center
Nvidia is in talks to guarantee potentially more than $5 billion in construction debt for Nscale's 460MW Anthropic data center in West Virginia, according to The Information. The unsigned agreement guarantees the building value rather than the lease or chips, which could allow Nscale to borrow on investment-grade terms. If Nscale defaults on construction payments, Nvidia will pay on its behalf, temporarily operate the site, and arrange a sale and leaseback.
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This guarantee is secured against the value of the data center building rather than the lease or chips, giving readers insight into a new structure for computing infrastructure financing.
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Nvidia is negotiating to guarantee likely more than $5B in construction debt for Nscale’s 460MW Anthropic data center.
per The Information
The unsigned deal would back the West Virginia building’s value rather than its lease or chips, letting Nscale borrow at investment-grade terms.
If Nscale missed construction payments, Nvidia would cover them, run the site temporarily and arrange a sale and re-lease.