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Lambda Closes $1 Billion Senior Secured Fixed Rate Financing

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Marks Lambda’s first $1 billion-plus institutional debt financing marketed to insurance companies and fixed income investors, and second institutional credit facility, expanding access to capital to support committed AI infrastructure deployments

Delayed-draw structure aligns proceeds with cluster commissioning milestones, funding capital only as infrastructure enters service

The financing is backed by contracted cash flows from two hyperscale customers, diversifying offtake exposure within a single publicly rated investment-grade GPU debt financing for the first time

Lambda, Inc. (“Lambda”), the Superintelligence Cloud, today announced the closing of a $1 billion investment-grade, delayed draw term loan (the “Facility”) marketed to insurance companies and fixed income investors to fund the purchase and development of GPU infrastructure supporting three committed customer deployments with two investment-grade offtakers across multiple data centers.

The Facility is Lambda’s first U.S. fixed rate financing and its first $1 billion-plus institutional debt financing, expanding the company’s access to institutional credit markets for AI infrastructure financing. The Facility was oversubscribed and received an A (low) rating from Morningstar DBRS and a Baa1 rating from Moody’s.

Lambda will use proceeds of the transaction to fund the purchase and development of GPU infrastructure supporting three committed customer deployments with two investment-grade offtakers across multiple data centers. Strong market interest and Lambda’s recent comparable transaction enabled pricing inside the target pricing range of a 6.78% fixed interest rate.

The Facility represents Lambda’s second institutional credit facility, following its broadly syndicated loan financing which closed on August 27, 2026, and expands the company’s ability to access institutional capital to support the continued growth of its AI infrastructure. Across its major 2026 financings, Lambda has raised approximately $1 billion in each transaction, establishing a track record of raising debt capital at scale.

Facility Highlights

  • $1.008 billion delayed draw term loan
  • A (low) rating from Morningstar DBRS and Baa1 rating from Moody’s
  • 6.78% fixed interest rate on a semi-annual coupon basis
  • Proceeds to fund GPU infrastructure supporting three committed customer deployments with two investment-grade offtakers across multiple data centers
  • Facility final maturity of May 30, 2033, with a fully amortizing repayment profile
  • Secured by the GPU servers and related infrastructure funded by the Facility and the contracted cash flows

“The capital in this offering underwrites infrastructure in decades, not quarters, and has funded us as a private company on the strength of our customer contracts,” said Michel Combes, Chief Executive Officer of Lambda. “Building on our investment-grade Term Loan B and bank lending facility, this is the third new credit market Lambda has opened in the last 18 months. Our progression into deeper and more diversified pools of capital is the market's verdict on the durability of our contracts and scalability of our business.”

J.P. Morgan acted as sole coordinating lead arranger, structuring agent, and bookrunner. Davis Polk & Wardwell LLP served as legal counsel to Lambda, and Latham & Watkins LLP served as legal counsel to the lenders.

About Lambda

Lambda, the Superintelligence Cloud, is a leader in AI cloud infrastructure serving tens of thousands of customers. Founded in 2012 by published machine learning engineers, Lambda builds supercomputers for AI training and inference. Our customers range from AI researchers to enterprises and hyperscalers. Lambda's mission is to make compute as ubiquitous as electricity and give everyone the power of superintelligence. One person, one GPU.

Forward-Looking Statements

This press release contains forward-looking statements that relate to future events or performance. These statements reflect Lambda’s current expectations and are not guarantees of future results. Words such as "anticipate," "believe," "continue," "estimate," "expect," "future," "intend," "plan," and "will," or similar expressions, are intended to identify forward-looking statements. These are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied. Actual events or results may differ materially due to known and unknown risks and uncertainties, many of which are beyond Lambda’s control. Lambda undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

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