HIVE subsidiary BUZZ Alpha Cloud secures $129M fixed-rate loan for Cohere GPU cluster
HIVE Digital Technologies announced that its indirect subsidiary BUZZ Alpha Cloud Inc. has entered a Loan and Security Agreement for a fixed-rate credit facility of approximately $129 million. The three-year facility carries a 9.0% fixed interest rate with principal and interest amortizing over the term. The debt is secured by the GPUs and related assets of BUZZ Alpha Cloud, supported by a…
Key points
- BUZZ Alpha Cloud secures $129M fixed-rate credit facility at 9.0% over three years for NVIDIA GB200 NVL72 cluster
- Cluster of 2,303 GPUs valued at $165M supports three-year $225M sovereign AI contract with Cohere in Canada
- HIVE equity funded via 0% convertible bonds ($245M gross, ~$200M net); $600M total GPU cloud contracts signed in 2026
Proceeds will finance an NVIDIA GB200 NVL72 GPU cluster for a three-year sovereign AI contract with Cohere Inc., originally announced June 18, 2026. CEO Aydin Kilic stated the financing applies toward a $165 million cluster of 2,303 NVIDIA GB200 GPUs under a three-year fixed $225 million total contract value with Cohere, representing an approximate 80% loan-to-cost. The $225 million figure adds connectivity and storage revenue to the previously disclosed $220 million GPU compute revenue. HIVE's equity contribution is funded from 0% interest convertible bonds issued in 2026, with total gross proceeds of $245 million and net proceeds of approximately $200 million. Kilic noted HIVE has signed $600 million of total contract value for GPU cloud deals in 2026 across three contracts. Delivery of the GB200 GPUs is expected toward the end of Q4 2026.
BUZZ HPC Lands $129M Fixed-Rate Credit Facility for Cohere GPU Cluster
Unite.AI · 28 October 2026
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