Clients rely on our Finance Group to help them navigate the business and legal complexities of novel and multi-dimensional debt financing transactions. Our versatile finance practitioners work closely with our mergers and acquisitions, securities, tax, real estate and bankruptcy lawyers to provide seamless advice and innovative solutions that address our clients' debt financing needs related to all types of transactions and capital structures.
TeraWulf Raises $200 Million Ahead of Public Listing
- Client News
- December 2, 2021
Paul, Weiss advised TeraWulf Inc. in raising approximately $200 million in debt and equity financing from leading institutional and individual investors. The financing includes approximately $123.5 million in a three-year senior secured term loan, and subscriptions agreements with investors to purchase newly issued shares of common stock for an aggregate purchase price of approximately $76.5 million.
The new capital is expected to enable TeraWulf, which was formed to own and operate environmentally clean U.S. bitcoin mining facilities, to achieve 200 megawatts of mining capacity by the second half of 2022. The company announced in June that it expects to become a Nasdaq-listed public company through a business combination with IKONICS Corporation; Paul, Weiss also advised TeraWulf on that earlier combination.
The Paul, Weiss team on the financing included, among others, corporate partners David Huntington, David Tarr and Sarah Stasny, and counsel Stephen Koo, Scott Grader and Yuni Sobel; tax partner Brian Grieve; restructuring partner Brian Hermann; IP partner Jonathan Ashtor; and environmental counsel William O’Brien.