New Era Energy & Digital (NASDAQ:NUAI) said it has closed an overallotment option on its public stock offering, bringing total gross proceeds to approximately $115 million, as the Permian Basin-focused digital infrastructure company works to fund development of a large Texas data center complex.
The company also received the first $20 million tranche of a $290 million senior secured term loan from Macquarie Group's Commodities and Global Markets division, alongside a separate $5 million equity investment from Macquarie at roughly $5 per share.
New Era plans to use proceeds from the equity offering to retire all outstanding borrowings under a senior secured convertible note held by SharonAI Holdings, with the remainder earmarked for general corporate purposes.
Paying off the SharonAI note will remove existing liens and streamline the company's capital structure, it said.
The term loan, provided by the Australian banking and financial services giant, is intended to fund procurement of long-lead equipment and ongoing site work at Texas Critical Data Centers LLC, or TCDC, the company's flagship development project in the Permian Basin.
"With these transformative financings, we have secured the capital required to support TCDC's development beyond just phase 1, and significantly strengthened our balance sheet," CEO E Will Gray II said in a statement.
Joshua Stevens, a managing director at Macquarie, said the firm believes TCDC is well-positioned for near-term power delivery and development.
The financing package comes amid surging corporate demand for data center capacity to power artificial intelligence workloads. New Era said it has a non-binding letter of intent in place with Stream Data Centers, a US data center development and operating platform, adding to what it described as growing institutional interest in its development pipeline.