MADISON — WhiteFiber subsidiaries signed a $300 million term-loan agreement tied to the NC-1 data center in Rockingham County, establishing a financing path for the 40-megawatt first phase while leaving the loans subject to project-readiness and customer-acceptance conditions.
Enovum NC-1 Midco LLC and Enovum NC-1 Bidco LLC entered the agreement Nov. 9 with Morgan Stanley Senior Funding Inc. as administrative and collateral agent and a consortium of lenders. Both project companies are indirect wholly owned subsidiaries of WhiteFiber Inc.
The agreement provides $200 million through an initial term-loan facility and another $100 million through a delayed-draw facility. WhiteFiber told the Securities and Exchange Commission that no loans had been funded as of its filing.
Initial funding is scheduled within 30 days of closing, subject to as many as two successive 30-day extensions. The first draw depends on the readiness and customer acceptance of the first 40 megawatts at NC-1 and other customary conditions.
The delayed-draw facility is subject to final completion of the first 40-megawatt phase, financial tests and other conditions. Its availability begins after initial funding and the receipt of three consecutive full months of financial statements following delivery.
When funded, proceeds may pay or reimburse Phase 1 construction and punch-list costs at the Madison data center, fund required reserves and cover transaction expenses. The agreement also allows permitted distributions to equity holders, subject to its terms.
The debt carries a five-year maturity from the initial funding date. At the borrower’s election, loans will bear interest at Term SOFR, subject to a 2% floor, plus 6 percentage points, or at a base rate, subject to a 3% floor, plus 5 percentage points. Both facilities amortize quarterly at 2.5% of funded principal under the agreement.
The borrower and holding company pledged substantially all project-company assets, and the initial funding conditions include a mortgage on NC-1. White Fiber Operating Partnership LP must provide an unsecured completion guarantee for Phase 1 before initial funding, while WhiteFiber Inc. itself is not a guarantor.
The commitment is a material financing milestone for the Madison project because it creates access to debt capital for construction-related costs and reserves once operating and customer conditions are met. It does not mean the full $300 million has been drawn or that the first phase is complete.