Cipher Signs $3B AI Deal, Plans $800M Notes Issue

Cipher Mining signed a $3B 10-year HPC hosting deal with Fluidstack, backed by Google, and announced a $800M convertible notes offering due 2031.

$3B hosting contract with Google support

Cipher Mining announced it has entered into a $3 billion, 10-year high-performance computing (HPC) hosting agreement with Fluidstack at its Barber Lake facility in Colorado City, Texas.

The company will deliver 168 megawatts of critical IT load supported by up to 244 MW of gross capacity. The deal could expand to $7 billion if extended twice for five years. Google will backstop $1.4 billion of Fluidstack’s lease obligations, securing financing, and will receive warrants representing about a 5.4% equity stake in Cipher.

Expanding HPC pipeline and financing plans

The agreement highlights the growing trend of bitcoin miners shifting energy infrastructure to artificial intelligence and cloud computing. Fluidstack previously struck a similar deal with TeraWulf. Cipher noted its project pipeline has grown to 2.4 gigawatts, with priority given to HPC expansion.

Separately, Cipher said it will raise $800 million through a private offering of 0.00% convertible senior notes due October 1, 2031, under Rule 144A to qualified institutional buyers.

Notes terms and use of proceeds

The notes will be senior unsecured obligations, carrying no interest. They may be converted before maturity, subject to conditions. Cipher intends to use proceeds for capped call transactions, Barber Lake construction, HPC development across its 2.4 GW pipeline, portfolio expansion, and general corporate purposes.