CoreWeave secures $7.5bn in debt financing to expand AI infrastructure

CoreWeave, a leading AI hyperscaler, has successfully secured a substantial $7.5 billion debt financing facility. This monumental financial endorsement is spearheaded by Blackstone, with noteworthy participation from Magnetar and Coatue. The consortium includes major financial entities such as Carlyle, CDPQ, DigitalBridge Credit, funds managed by BlackRock, Eldridge Industries, and Great Elm Capital Corp. The funding will predominantly support the expansion of CoreWeave’s high-performance computing capabilities, critical for fulfilling existing contracts with top enterprise clients and AI innovators.

Expanding Global Presence and Technological Prowess

Over the past year, CoreWeave has witnessed unprecedented growth, having raised over $12 billion from both equity and debt sources. This includes a significant $1.1 billion from a Series C funding round in May 2024 and a $2.3 billion debt facility in August 2023. Adding to its strategic growth initiatives, CoreWeave recently inaugurated a new European headquarters in London, committing an additional $1.25 billion to the region. In 2023 alone, the company expanded its data center operations from three to 14 locations and plans to double this footprint to 28 by the end of 2024.

Executive Insights on Strategic Growth and AI Market Leadership

Michael Intrator, CEO and Co-founder of CoreWeave, emphasized the company’s mission to revolutionize the cloud landscape and accelerate AI innovation. “The caliber of investors in this large debt financing round underscores the robust market demand for AI infrastructure and their confidence in CoreWeave’s capability to lead in delivering advanced innovation on a global scale,” said Intrator.

Blackstone’s Senior Managing Director, Jasvinder Khaira, and Managing Director, John Watson, highlighted their continued support for CoreWeave. They acknowledged the pivotal role of AI and digital infrastructure in their investment strategy, expressing enthusiasm for supporting CoreWeave’s rapid deployment of AI infrastructure.

Brad Marshall, Global Head of Private Credit Strategies at Blackstone, remarked on the historical significance of the financing: “This is one of the largest private credit financings in history, and we are excited to support CoreWeave’s journey as a pivotal player in the AI infrastructure domain.”

David Snyderman, Chief Investment Officer and Managing Partner at Magnetar, reflected on their long-standing relationship with CoreWeave. “From its inception as a startup to its emergence as a market leader in AI computing solutions, CoreWeave’s evolution has been nothing short of remarkable,” noted Snyderman.

CoreWeave’s Role in the Future of AI Computing

CoreWeave is strategically positioned to address the increasing demands of AI workloads, which require robust computational resources. The company’s specialized GPU cloud infrastructure is trusted by leading AI labs and enterprises. With a focus on efficiency and performance, CoreWeave Cloud tailors its services to meet the unique needs of AI engineers and innovators, offering solutions across machine learning, AI, graphics, life sciences, real-time streaming, and more. Founded in 2017 and headquartered in New Jersey, CoreWeave continues to expand its influence and operations across the United States.