CoreWeave is preparing to raise at least $4 billion through an investment-grade loan facility, according to Bloomberg reports.
The AI cloud infrastructure provider seeks to secure lower capital costs following an upgrade to its annual revenue forecast. The potential transaction, which could launch as early as next week, is being led by Morgan Stanley and Mitsubishi UFJ Financial Group Inc. (MUFG), Bloomberg reports. The loan could be offered in several stages, though the specific timing and terms remain subject to change, Bloomberg Technology reports.
The move comes as the company attempts to transition from high-yield, “junk-rated” debt toward more favorable financing terms. Observers are watching to see if the completion of this loan affirms the company’s financial strategy and reduces bankruptcy concerns, according to Crypto Briefing.
Revenue guidance and quarterly growth
CoreWeave raised its full-year revenue outlook on Tuesday to a range between $13 billion and $13.3 billion, Yahoo! Finance reports. This projection surpassed the Wall Street consensus estimate of $12.9 billion. BigGo Finance notes the new guidance is above both the prior company range and the consensus. Specifically, the company raised its full-year 2026 sales outlook to this range, BigGo Finance reports.
The company’s third-quarter performance included several key metrics:
- Third-quarter revenue reached $3.66 billion, representing a 168% increase year over year, BigGo Finance reports.
- Total future revenue under remaining performance obligations reached $132.5 billion, up from approximately $104.2 billion as of June 30, BigGo Finance reports.
Intrator also said that the company’s data-center buildout is “not being delayed or affected” by recent U.S. mid-term election results, Stocktwits reports. Intrator told CNBC that he has canceled his pre-arranged plans to sell company stock, noting that any future sales will be limited to restricted stock units for routine tax purposes, Stocktwits reports.
Structure of the proposed $4 billion loan
The proposed facility is expected to be structured around computing hardware and underlying customer commitments. Yahoo! Finance reports that this mirrors an $8.5 billion investment-grade transaction the company completed in March. According to Bloomberg, the funds from the new loan will be used to buy NVIDIA chips and other computing equipment for a contract with an investment-grade client.
That previous March arrangement was backed by Meta Platforms Inc. contracts and included a floating-rate tranche priced at 2.25 percentage points over the Secured Overnight Financing Rate (SOFR). Yahoo! Finance reports that the fixed-rate portion of that March deal was priced near 5.9%.
Capital requirements support AI infrastructure expansion
CoreWeave is managing large capital requirements to expand its AI infrastructure. BigGo Finance reports that CoreWeave raised its full-year revenue outlook to between $13 billion and $13.3 billion. The company also said that if 2027 capital expenditures are built solely against existing signed orders, that year’s spending could be similar to 2026.
To support these expansions, the company disclosed several liquidity positions at quarter-end, BigGo Finance reports:
| Metric | Value |
|---|---|
| Cash and short-term liquid assets | $6.5 billion |
| Undrawn delayed-draw term loan capacity | Nearly $5 billion |
| Expected customer prepayments and deposits | About $9 billion |
Intrator described the expected $9 billion in customer prepayments and deposits as the company’s cheapest source of capital, Stocktwits reports. According to BigGo Finance, investors will look to the cash-flow conversion rate during the next two quarters and the ability to renew approximately 130,000 GPUs maturing in 2027 at high prices as vital tests of the asset-heavy model.
CoreWeave shares fluctuate amid Nvidia dependency
While CoreWeave shares initially surged 24.7% following the earnings release, the stock later saw declines, Yahoo! Finance reports. CoreWeave shares dropped 6.1% in extended trading, Yahoo! Finance reports. Reports indicate that the stock declined roughly 5% in after-hours trading following reports concerning Nvidia Corp.
CoreWeave maintains a heavy dependence on Nvidia for advanced computing architectures. Finance reports.
BigGo Finance reports that while representatives for Morgan Stanley and CoreWeave declined to comment, Mitsubishi UFJ did not respond to a request for comment.
Earlier coverage: CoreWeave Shares Surge 25.3% Following $3.66 Billion Revenue Report