WhiteFiber (WYFI), a Nasdaq-listed data center and colocation provider specializing in AI and high-performance computing, announced through a press release on Thursday that its subsidiary, Enovum Data Centers, has entered into a long-term colocation agreement with Nscale Global Holdings, which provides AI infrastructure and cloud services.
This agreement encompasses 40 megawatts (MW) of essential IT load at WhiteFiber’s NC-1 data center campus located in Madison, North Carolina, with the deployment scheduled in two phases of 20 MW each, as detailed by the company.
The contract is projected to generate approximately $865 million in revenue over an initial term of 10 years. This figure includes annual rate increases and non-recurring installation services, though it excludes electricity and certain other pass-through expenses.
WhiteFiber was spun off from the legacy miner Bit Digital (BTBT) and became publicly traded in August, successfully raising around $160 million in gross proceeds from the sale of 9.4 million shares in an increased IPO.
In response to changing market demands, bitcoin miners are increasingly shifting towards AI to monetize their power contracts and infrastructure. For instance, Hut 8 saw a surge of up to 20% on Wednesday after securing a 15-year lease worth $7 billion with Fluidstack for 245 MW of IT capacity at its River Bend facility.
WhiteFiber characterized its facility as Tier 3-equivalent and “ultra-high-density,” designed to accommodate up to 150 kilowatts (kW) per cabinet, featuring fully redundant power distribution and N+1 cooling, with an average power usage effectiveness target of 1.3 or better.
The company has also stated that the campus is backed by a 99 MW capacity agreement with Duke Energy, and management believes it could eventually support up to 200 MW of total electrical supply, contingent upon necessary infrastructure upgrades and other stipulations.
WhiteFiber has committed around $150 million in equity to the NC-1 site and is currently engaged in advanced discussions with lenders regarding financing options for the construction and broader growth plans. A credit facility is expected to be formalized in early Q1 2026, and potential credit enhancement structures are under evaluation.
“This agreement underscores our strategy to engineer NC-1 to meet hyperscaler specifications and to support the most advanced AI workloads,” stated WhiteFiber CEO Sam Tabar in the release.
“We are excited to collaborate with Nscale as we prepare for the potential expansion of this deployment to double its initial capacity by the end of 2027,” he further noted.
WhiteFiber shares saw a closing increase of 0.9% to $14.30 on Thursday.
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