WhiteFiber Shares Surge After $865M AI Data Center Deal With Nscale

WhiteFiber (WYFI), a Nasdaq-listed data center and colocation company specializing in artificial intelligence and high-performance computing, saw its shares jump more than 13% in after-hours trading after announcing a major long-term agreement with Nscale Global Holdings, an AI infrastructure and cloud services provider.

In a press release issued Thursday, WhiteFiber said its subsidiary, Enovum Data Centers, has signed a colocation contract covering 40 megawatts of critical IT load at the NC-1 data center campus in Madison, North Carolina. The deployment will be executed in two phases of 20 MW each, supporting Nscale’s expanding AI and cloud computing needs.

The agreement is expected to generate approximately $865 million in contracted revenue over an initial 10-year term. This figure includes annual pricing escalators and non-recurring installation services but excludes electricity costs and other pass-through expenses. Following the announcement, WhiteFiber shares rose to $16.19 in after-hours trading, reflecting strong investor confidence in the company’s AI-focused growth strategy.

WhiteFiber became a public company in August after being spun out of legacy Bitcoin miner Bit Digital. The company raised about $160 million in gross proceeds through an upsized initial public offering of 9.4 million shares. Like many former crypto miners, WhiteFiber is pivoting toward AI data center infrastructure to better monetize power contracts and existing facilities, a trend gaining momentum across the sector.

The NC-1 campus is described as a Tier 3-equivalent, ultra-high-density data center engineered to support up to 150 kilowatts per cabinet. The facility features fully redundant power distribution, N+1 cooling, and targets an average power usage effectiveness of 1.3 or better, making it well suited for advanced AI workloads.

WhiteFiber said the site is backed by a 99 MW capacity agreement with Duke Energy and could potentially scale to 200 MW of total electrical supply over time, subject to upgrades. The company has invested roughly $150 million in equity into the project and is in advanced talks with lenders regarding construction financing and broader expansion, with a credit facility expected in early 2026.

CEO Sam Tabar said the deal validates WhiteFiber’s hyperscaler-focused strategy and noted that management is already planning for a potential expansion of the Nscale deployment to nearly double its size by the end of 2027.