Nvidia (NVDA) appears poised to lease a data center in Nevada that is being financed by junk bonds, amid the continued demand for artificial intelligence, Bloomberg reported.
An entity backed by alternative asset manager Tract Capital intends to sell the debt to finance a portion of the construction of the 200-megawatt data center, the news outlet added, citing people with knowledge of the matter. The bond deal was increased to $150M on Thursday, amid strong demand for the offering. Yields on the bonds may be around 6%, the news outlet added, citing its sources.
Tract Capital and Nvidia did not immediately respond to a request for comment from Seeking Alpha.
