Nvidia partner GMI Cloud seeks US$300 million loan to buy chips for Thai site
Proceeds will go to buying chips, to be used by Tencent, for a facility in a STT GDC site, sources say
[SINGAPORE] GMI Cloud, a Nvidia partner, is seeking a US$300 million loan to buy chips for its facility in Thailand, according to people familiar with the matter, adding to a growing list of similar deals in Asia.
The US-based data centre operator has approached banks and private credit funds for the financing, said the people who asked not to be identified as the discussions are private.
The proposed deal would pay yields in the low-teens, they said.
Proceeds from the self-arranged funding would be used for chip purchases for GMI Cloud’s facility, housed in ST Telemedia Global Data Centres’ (STT GDC) site in Thailand, they said. Tencent would be the user of the chips, they said.
Spokespeople for GMI Cloud and Tencent had no immediate comment when contacted, while a spokesperson for STT GDC declined to comment.
Chip financing is emerging as the next frontier for AI lenders, as banks and private credit expand beyond data centres to the hardware that powers them.
GMI Cloud recently signed a NT$13.9 billion (US$436 million) loan, backed by contracts for computing power from advanced chips, for a project in Taiwan.
That deal secured bank commitments of more than double the amount sought. BLOOMBERG
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