Applied Digital expects to receive an additional $787.5 million in funding from its existing $5 billion preferred equity financing facility with Macquarie Asset Management by the end of November 2025.
Of this amount, $450 million will support the completion of Polaris Forge 2, its AI Factory campus in Harwood, North Dakota. Polaris Forge 2, currently under construction, has leased 200 MW of critical IT capacity to a U.S.-based investment-grade hyperscaler, with an option for an additional 800 MW, reaching the site’s full 1-gigawatt expansion potential.
The remaining $337.5 million will fund Polaris Forge 1 in Ellendale, North Dakota, contingent on the closing of a previously announced $2.35 billion senior secured notes offering. This capital will support the 400-MW campus, cover general administrative expenses, and transaction costs.
Applied Digital recently reached a Ready-for-Service milestone for the first data hall at Polaris Forge 1, with both campuses on schedule.
Additionally, the company secured a $65 million revolving loan facility with First National Bank of Omaha, bearing interest at SOFR plus 2.75% per annum, secured by the company’s assets.
These funds aim to advance Applied Digital’s AI Factory platform and support ongoing development efforts.
Applied Digital Corporation on Sept. 7 announced it has received an initial $112.5 million funding from its previously disclosed perpetual preferred equity financing facility of up to $5 billion with Macquarie Asset Management (MAM).
The initial investment, funded by MAM-managed entities, will support the build-out of Applied Digital’s 400MW Polaris Forge 1 AI Factory campus in Ellendale, North Dakota, which is designed to scale to 1 gigawatt (GW) over time. The company has fully leased the campus’s 400MW capacity under construction to CoreWeave, the AI Hyperscaler™, under a long-term agreement.
Proceeds from this first draw will fund ongoing construction and support platform-level operations and transaction expenses. Future draws under the MAM facility are expected following the anticipated closing of a project financing facility.
Funding
In January 2025, Applied Digital entered into a $5 billion perpetual preferred equity financing facility with Macquarie Asset Management. Macquarie committed up to $900 million to fund Applied Digital’s Ellendale high-performance computing campus, Polaris Forge 1. An additional $4.1 billion remains available to support future data center and HPC projects. The structure allows Applied Digital to retain 85% ownership of its HPC business. Macquarie holds perpetual preferred equity along with a 15% common equity stake in that segment.
Applied Digital said the partnership substantially reduces its equity contribution requirements for current and future projects. It eliminates the need for additional equity investment in Polaris Forge 1.
“This funding at the asset level gives us the capital to complete Polaris Forge 1,” said Wes Cummins, Chairman and CEO of Applied Digital. “It provides a clear path to scale additional campuses. With Macquarie’s support, we can strengthen our balance sheet and accelerate the build-out of our AI Factory platform.”
Anton Moldan, Senior Managing Director at Macquarie Asset Management, said Applied Digital can meet growing U.S. demand for AI and high-performance computing capacity. “We own and manage large private data center platforms globally,” he said. “This experience makes us an ideal partner to help Applied Digital scale its HPC data center platform.”
Northland Capital Markets acted as sole placement agent for the transaction. Lowenstein Sandler LLP advised Applied Digital, while Simpson Thacher & Bartlett LLP represented Macquarie Asset Management.
Separately, Applied Digital has also begun work on Polaris Forge 2, a $3 billion AI campus in Harwood, where groundbreaking took place in September 2025 and construction is now underway.
Project Factsheet: Polaris Forge 1 AI Factory Campus
Location: Ellendale, North Dakota
Developer: Applied Digital Corporation
Partner/Investor: Macquarie Asset Management (MAM)
Total Planned Capacity: 400MW (scalable to 1GW)
Project Type: AI and high-performance computing (HPC) data center campus
Tenant: CoreWeave (leased full 400MW capacity)
Funding Facility: Up to $5 billion perpetual preferred equity financing with MAM
Initial Funding Draw: $112.5 million (October 7, 2025)
Use of Funds: Construction of Polaris Forge 1, platform-level G&A, and transaction expenses
Financing Support: Anticipated project financing facility for additional draws
Applied Digital Funding/November 2025
Total Additional Funding: $787.5 million
Funding Source: Macquarie Asset Management (preferred equity financing facility)
Funding Timeline: Expected by end of November 2025
Allocation of Funds:
Polaris Forge 2 (Harwood, ND): $450 million
Supports completion of AI Factory campus
200 MW leased to U.S.-based investment-grade hyperscaler
Option for additional 800 MW, totaling 1 GW potential
Polaris Forge 1 (Ellendale, ND): $337.5 million
Contingent on closing $2.35 billion senior secured notes offering
Funds 400-MW campus build-out, general admin, and transaction costs
Recent Milestones:
Ready-for-Service achieved for first data hall at Polaris Forge 1
Both campuses remain on schedule for delivery
Additional Financing:
$65 million revolving loan facility secured with First National Bank of Omaha
Interest rate: SOFR + 2.75% per annum
Loan secured by Applied Digital’s assets
