Lowenstein Sandler represented Applied Digital Corporation (Nasdaq: APLD), a designer, builder, and operator of next-generation digital infrastructure for HPC applications, in closing a $375 million financing with SMBC through Applied Digital’s HPC subsidiary APLD HPC Holdings LLC (“APLDH”).
Applied Digital used a portion of the proceeds to repay its obligations under the Macquarie Equipment Capital senior secured note, and the remaining proceeds are intended to be used to advance the development of the first and second data center buildings at the Ellendale HPC Campus in North Dakota.
Applied Digital creates next-generation data centers and cloud infrastructure that are engineered to unleash the power of accelerated compute and deliver secure, scalable and sustainable digital hosting, along with turnkey CSaaS and GPU-as-a-Service solutions.
In the past twelve months, Lowenstein has represented Applied Digital in numerous transactions, including:
- An agreement to enter into a $5 billion perpetual preferred equity financing facility, with investment vehicles of funds managed by Macquarie Asset Management (MAM), a global asset manager, for its HPC business conducted through APLD HPC Holdings LLC
- $160 million strategic financing from a group of institutional and accredited investors, NVIDIA, and Related Companies
- Issuance of $53.2 million convertible preferred stock for net proceeds of $50 million in a private financing arrangement with a single investor to advance HPC data center project
- Committed equity facility of up to $250 million with YA II PN, LTD., a fund managed by Yorkville Advisors Global, LP
- Private debt facility with CIM Group of up to $200 million to accelerate North Dakota data center project
- $97.3 million sale of 200-megawatt Bitcoin mining data center
The Lowenstein team included Steven E. Siesser, Lowell A.Citron, Daniel A. Suckerman, Deangeor Chin, Elena Scialabba, Billy Fausto Michaca, and Anna L. D’Eramo.
About Lowenstein Sandler LLP
Lowenstein Sandler is a national law firm with over 350 lawyers based in New York, Palo Alto, New Jersey, Utah, and Washington, D.C. The firm represents leaders in virtually every sector of the global economy, with particular emphasis on investment funds, life sciences, and technology. Recognized for its entrepreneurial spirit and high standard of client service, the firm is committed to the interests of its clients, colleagues, and communities.
