Texas-based Fermi America announced the closing of a total $350mn financing package to support the development of its private energy project HyperGrid™, a behind-the-meter energy campus designed to meet the growing needs of artificial intelligence. The financing includes a $100mn Series C preferred equity raise and a $250mn senior loan facility, both led by Macquarie Group.
The HyperGrid™ Project is being developed in partnership with the Texas Tech University System and aims to become a benchmark energy infrastructure for high-intensity data centres. Under the terms of the deal, $100mn was immediately drawn from the loan facility, provided by Macquarie Group’s Commodities and Global Markets division. The funds will enable the purchase of long-lead supply chain assets and the mobilisation of resources required to construct the project’s first phase.
Full financial support driven by Macquarie
Macquarie Group’s full participation in both debt and equity provides Fermi America with strategic financial backing. Joshua Stevens, Managing Director in Macquarie’s Commodities and Global Markets division, said that Fermi America’s platform is “well placed to address the fast-growing needs of AI and other high-performance computing applications.” No other investors were mentioned in this funding phase.
For Fermi America, this operation represents a critical step in securing global supply chain components and strengthening its operational team. Co-Founder and Chief Executive Officer Toby Neugebauer stated that the company’s speed of execution is based on proven experience in real-time power generation and industrial construction.
Initial construction phase and targeted recruitment
The first phase of the HyperGrid™ Project will begin with the support of this financing. It will include the securing of critical equipment, the integration of subject matter experts, and the launch of energy infrastructure construction. The project is being developed in a region historically tied to American energy industrialisation, reinforcing both its symbolic and logistical importance.
The financial structuring of the transaction was handled by Cantor, Newmark and Donovan & Co., while legal counsel was provided by Haynes Boone, Latham & Watkins, and Vinson & Elkins L.L.P. No full delivery timeline has yet been announced, but the rapid progress of the initial stages of the project remains a priority for Fermi America’s management.
