Lambda has closed a $926 million senior secured Term Loan B facility to finance GPU infrastructure supporting a committed customer deployment with an investment-grade offtaker.
The financing represents Lambda’s second major debt transaction of 2026 and expands the AI cloud infrastructure company’s use of asset-backed financing to fund contracted GPU deployments.
Lambda described the transaction as its first large-scale private cloud GPU asset-backed special purpose vehicle financing and the first broadly syndicated, investment-grade-rated Term Loan B completed by a private neocloud.
Moody’s assigned the facility a Baa2 investment-grade rating.
The loan was priced at SOFR plus 3% and issued at 99.5% of principal. It matures on December 31, 2030.
The facility has a fully amortizing repayment schedule designed to align with the contracted cash flows and expected useful life of the GPU infrastructure financed through the transaction.
The debt is secured by the underlying GPU servers and related infrastructure as well as the cash flows those assets generate.
The structure allows Lambda to deploy substantial amounts of computing infrastructure against customer commitments while matching the financing profile more closely with the revenue generated by those assets.
The transaction follows Lambda’s $1 billion senior secured credit facility announced in May 2026.
As its backlog of multi-year customer contracts expands, Lambda expects asset-backed debt to remain an important source of capital for additional GPU capacity alongside equity financing.
Morgan Stanley acted as Lead Left Arranger, Bookrunner and Administrative Agent on the $926 million facility.
MUFG served as Joint Bookrunner, while Citizens Bank, Crédit Agricole and Wells Fargo acted as Documentation Agents.
Davis Polk & Wardwell represented Lambda, while Latham & Watkins served as legal counsel to Morgan Stanley and the arrangers.
Lambda builds AI supercomputers used for model training and inference and serves customers ranging from AI researchers to enterprises and hyperscalers.
KEY QUOTE:
“Closing this Facility puts capital straight to work, funding infrastructure to which our customer is already committed. An investment-grade rating on a term loan B signals that AI infrastructure has arrived as an investable asset class, standing alongside other contracted, income-producing assets. We expect to return to this market as we scale.”
Michel Combes, Chief Executive Officer Of Lambda
