Blue Owl Arranges $2.4 Billion Debt Package for Iren's Nvidia GPU Purchase

Funds managed by Blue Owl Capital Inc. have arranged a $2.4 billion debt financing package for Iren Ltd., a cloud computing and Bitcoin mining operator. The capital is designated for the purchase of Nvidia Corp. Blackwell Ultra GPUs to expand a data center campus in Canada.

Financing Breakdown

The financing is split into two equal tranches, according to a company filing. The package includes:

• A $1.2 billion senior-secured term loan.
• A $1.2 billion issue of senior secured notes.

Both components carry a 9% interest rate and mature two and a half years after funding. The deal structure allows Sydney-based Iren to acquire the high-demand equipment in stages over a specified period. Pacific Investment Management Co. (PIMCO) also participated in the financing.

Strategic Context

Ad

The debt will support a significant expansion of computing capacity at Iren’s Mackenzie data center campus in British Columbia. Kurt Tenenbaum, a senior managing director at Blue Owl, described the deal as a "unique" structure and one of the largest of its kind, representing "a combination of equipment financing for GPUs and a direct lending underwrite for Iren."

This transaction underscores the increasing role of private credit in funding the capital-intensive AI infrastructure buildout. Blue Owl, which has $319 billion in assets under management, has previously financed other major AI projects, including facilities for Meta Platforms Inc. and a project developed with Crusoe and Primary Digital Infrastructure.

Market Impact and Outlook

Following the announcement, shares of Iren fell almost 13% to $35.40 in Friday trading in New York. The deal comes as Iren projected significant capital needs, forecasting up to $30 billion in capital expenditures for its 2027 financial year during its earnings report last week.