- A $1.1 billion junk bond offering has been launched to finance a data center project in Virginia, sponsored by Blue Owl Capital affiliates and leased to CoreWeave.
- The deal is part of a surge in borrowing for AI infrastructure, with investors demanding higher yields due to the project's non-investment-grade tenant status.
- Early discussions suggest yields in the low to mid-9% range for the 15-year lease, with operations expected to commence between 2027 and 2028.
Topics: Asset types, Private market, Risk default, Bond, Private credit debt funds, Credit counterparty risk
Tags: #coreweave #datacenter #junkbond #blueowlcapital #goldmansachs #artificialintelligence #virginia #15yearcontract #higheryields