According to reports from The Economic Times, TeraWulf has signed a 20-year lease with Anthropic for AI data center infrastructure, securing approximately $19 billion in contracted revenue. The deal represents a significant shift for the bitcoin miner as it pivots toward AI services, with shares surging 26.6% to $26.83 during pre-market hours on Monday, compared to $21.18 at the previous US stock market close. As reported by TeraWulf, this agreement is expected to produce nearly $19 billion in contracted revenue over the initial lease period, making it one of the largest infrastructure commitments announced between an AI developer and a crypto mining company. The lease covers TeraWulf's Justified Data campus in Hawesville, Kentucky, which will provide approximately 401 megawatts of computing capacity built out in phases, with the first power expected in the second half of 2027 and the full site running by early 2028. TeraWulf CEO Paul Prager told CNBC that "The Anthropic lease validates our strategy and establishes a long-duration revenue stream with one of the world's leading AI companies."
According to Bloomberg reports, TeraWulf is preparing to raise approximately $3.5 billion in debt financing to fund its Kentucky AI campus development. The planned financing could include leveraged loans and high-yield bonds, with Morgan Stanley expected to lead the transaction which could launch later in 2026. TeraWulf CFO Patrick Fleury reportedly indicated the company could enter the leveraged loan market for the first time as part of the financing package. The financing follows TeraWulf's established pattern of using debt to fund AI infrastructure expansion, including its $3.2 billion senior secured notes priced in October 2025 with a 7.75% annual interest rate and 2030 maturity. The company previously used these proceeds to finance part of its Lake Mariner data center expansion in New York.
According to TeraWulf, the company has entered into a definitive agreement to sell its entire 50.1% ownership stake in the Abernathy Joint Venture to an investor group led by partner Fluidstack for approximately $530 million. This transaction monetizes roughly $450 million of invested capital at a premium and frees additional resources for wholly owned AI infrastructure projects. The joint venture was set up in 2025 to develop a 168 MW critical IT load AI data centre campus in Abernathy, Texas, with Fluidstack continuing to lead the project after the stake sale closure. As per TeraWulf, the transactions enhance long-term revenue visibility, strengthen the company's financial position, and further align capital with infrastructure platforms where it maintains direct ownership, customer relationships, and operational control. The Wall Street Journal reported that the agreement is underpinned by Anthropic's strong investment-grade credit rating, which matters structurally for long-duration revenue anchored to investment-grade paper.
As reported by MarketWatch, TeraWulf shares are up 66% year-to-date in 2026, reflecting strong investor confidence in the company's strategic transformation from bitcoin mining to AI services. The significant stock appreciation underscores how AI hosting is reshaping the economics of former crypto miners, with the $19 billion lease figure exceeding the company's entire market value of around $12 billion as of Monday's trading session. The company's first-quarter 2026 results showed that more than 50% of revenue came from HPC hosting, demonstrating its successful pivot toward AI infrastructure. The stock has delivered more than 341% returns over the past five years, though it has lost 18% in the past year and 15% in the last five trading sessions. The $19 billion contracted revenue figure represents a significant multiple of the company's current market cap, signaling a fundamental shift in valuation from bitcoin mining to AI infrastructure, though the projected revenue represents earnings expected over 20 years rather than upfront payments.
