Hyperscale Data, Inc. filed an 8-K press release on October 28, 2026, announcing that its indirect wholly owned subsidiary Alliance Cloud Services, LLC has engaged Newmark Group, Inc. to identify prospective lenders for long-term debt financing for the company's AI data center campus in Michigan.

Key Highlights

  • Newmark engaged: Alliance Cloud Services, LLC, an indirect wholly owned subsidiary of Hyperscale Data, has retained Newmark Group, Inc. to identify prospective lenders for the Michigan Campus.
  • Non-dilutive financing goal: According to the filing, the engagement is intended to "reduce reliance on issuances of its common equity" through institutional long-term debt financing.
  • Michigan Campus capacity: The company disclosed an existing master services agreement for an initial 20 MW of critical AI compute capacity, with a customer right of first offer for an additional 32 MW, potentially totaling 52 MW.
  • First 10 MW energization target: The company expects the first 10 MW of critical AI compute capacity at the Michigan Campus to be energized in December 2026, with revenue-generating activities expected to begin at that milestone.
  • No financing commitment: The filing states that the Newmark engagement "does not constitute a commitment to lend or confirmation that financing has been secured" and that no amount, pricing, maturity, or other terms have been announced.
  • ACG divestiture expected in 2027: The company disclosed it currently expects the divestiture of its subsidiary Ault Capital Group, Inc. to occur in 2027.

Hyperscale Data Seeks Institutional Debt for Michigan AI Data Center Campus

Hyperscale Data, Inc. (NYSE American:GPUS) announced on October 28, 2026, that Alliance Cloud Services, LLC ("ACS"), an indirect wholly owned subsidiary, has engaged Newmark Group, Inc. to source prospective lenders for the development and expansion of the company's AI data center campus in Michigan. According to the filing, the company's stated financing objective is to secure debt capital suited to the Michigan Campus's development requirements and anticipated operating cash flows, with the process designed to evaluate long-term funding availability, borrowing structures, and repayment schedules.

The filing noted several of Newmark's publicly announced assignments as context for the engagement, including arranging a $7.1 billion construction loan in 2025 for an AI data center project in Abilene, Texas, and $975 million in financing in 2026 for a newly constructed data center in Northern Virginia. Newmark reportedly arranged approximately $59 billion in investments and an additional $73 billion in debt placements during 2025. The company's executive chairman, Milton "Todd" Ault III, stated that successfully securing the pursued debt financing would, "once consummated, substantially reduce our need to raise additional equity capital for this project."

The Michigan Campus is operated by ACS, which previously entered into a master services agreement with a California-based neocloud provider for colocation and related data center services covering an initial 20 MW of critical AI compute capacity. The agreement carries an initial term of 10 years, with two five-year extension options exercisable by the customer. The company disclosed the customer also holds a right of first offer for an additional 32 MW, which could bring its total deployment to 52 MW. The company will evaluate potential financing based on economic terms including interest expense, repayment obligations, collateral requirements, covenants, and other lender conditions. The filing includes forward-looking statements, which the company notes are subject to risks and uncertainties described in its regulatory filings.

What Was Disclosed

Hyperscale Data disclosed the engagement of Newmark Group to identify lenders for long-term, non-dilutive debt financing for its Michigan AI data center campus, with no financing commitment yet made and no terms announced as of the filing date.