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AMD to Backstop $300 Million Goldman Loan for Crusoe AI Chips, Report Says

A lease-back guarantee reportedly cut Crusoe’s borrowing cost to about 6%.

Overview

  • Goldman Sachs will provide a $300 million loan to Crusoe to buy AMD AI processors, with the chips and related equipment pledged as collateral.
  • AMD offered to lease back the processors if Crusoe cannot secure customers, according to The Information’s reporting.
  • The backstop allowed Crusoe to secure an interest rate near 6%, lower than typical unsecured terms.
  • Crusoe is installing the hardware in an Ohio data center developed by 5C, a Canadian firm backed by Brookfield.
  • The deal is described as the first reported use of AMD chips in a circular financing structure similar to Nvidia’s arrangements, and both companies declined to comment.