Nasdaq-listed Cipher Digital plans to issue $850 million in zero-coupon convertible notes through a private placement to fund its Barber Lake project and high-performance computing (HPC) data center expansion. The offering size may increase to $1 billion if initial purchasers exercise their option to acquire an additional $150 million in notes. The company also intends to convert a portion of its existing 1.75% convertible notes due 2030 into common stock. Proceeds will support increased equity investment in the Barber Lake project, development of near-term compute infrastructure, portfolio expansion, and general corporate purposes. Cipher Digital recently extended its Barber Lake contract term from 10 to 20 years with Fluidstack and an undisclosed AI lab, raising expected contract revenue from $3.8 billion to over $9 billion. Under the agreement, the company will cover the first $359.3 million in cost overruns, with tenants reimbursing half of any additional excess costs through future rent.