TLDR
- TeraWulf stock was down about 3% in premarket trading on Wednesday.
- Google agreed to backstop Anthropic’s 20-year, $19 billion lease at the Kentucky site.
- If Anthropic defaults, Google can take over the lease or buy a stake in the project subsidiary.
- TeraWulf also expanded its agreement with Fluor Enterprises for the Hawesville build.
- First capacity is expected online in the second half of 2027.
TeraWulf (WULF) stock was down about 3% in premarket trading on Wednesday. The dip came as AI data-center names slid on worries about tighter regulation after Democrats took control of Congress.
The company had news to share, though. It secured a credit backstop from Google to support financing for its Anthropic data-center project.
TeraWulf also expanded its agreement with construction firm Fluor Enterprises. Fluor will help develop the site in Hawesville, Kentucky.
TeraWulf $WULF has secured credit support from $GOOGL for debt financing tied to its previously announced $19B, 20-year Anthropic lease at the Justified Data Campus in Kentucky.
Google’s backing strengthens the project’s financing profile and could help TeraWulf secure more… pic.twitter.com/f5JsaSgknY
— Wall St Engine (@wallstengine) November 4, 2026
The campus is expected to support about 401 megawatts of critical IT load. First capacity should come online in the second half of 2027.
What Google’s Backstop Covers
Google agreed to back Anthropic’s obligations under a 20-year lease. That lease is expected to generate about $19 billion in contracted revenue for TeraWulf.
TeraWulf signed the lease with Anthropic in July. The Google agreements were signed on Nov. 4, according to the filing.
Chief Financial Officer Patrick Fleury said the credit support improves the project’s financing profile. He added that it helps the company pursue competitive long-term debt.
Google’s support for each of three leased sections starts only after the final data hall in that section is delivered. TeraWulf expects deliveries to run through the second quarter of 2028.
The Ownership Twist
If Anthropic defaults on rent or becomes insolvent, Google can step in as the tenant and take over the lease. Under certain conditions, it can also pay a termination fee and take a stake in Raylan Data.
Raylan Data is the TeraWulf subsidiary that operates the project. Any stake Google gets would sit in that unit, not in publicly traded TeraWulf.
The size of the stake depends on the fee Google pays. That fee is divided by the total cost of the build, including land, infrastructure, equipment and financing.
A payment equal to 30% of the project’s cost, for example, would give Google a 30% stake. Simple math, at least.
For the first six years after its support takes effect, Google generally must take over the lease rather than end it. The exception is if Google’s TPU pods in the halls can use less than half the power set aside for the tenant.
Reuters noted that big tech firms have been offering multi-billion-dollar backstops to help smaller AI companies fund their build-outs. The TeraWulf deal is the latest example.
Google’s obligations end if Anthropic, or a parent or subsidiary, holds an investment-grade credit rating for at least three months.
