Iren’s Expanding AI Data Center Footprint
Iren Limited (NASDAQ: IREN) has secured an additional 1.6 gigawatts (GW) of grid-connected land in Oklahoma, enhancing its total capacity to 4.5 GW across various locations, including 2.75 GW in Texas and 160 megawatts (MW) in Canada. The company projects $3.4 billion in annual recurring revenue for 2023 from only 460 MW of this capacity, derived largely from a landmark $1.94 billion deal with Microsoft (NASDAQ: MSFT).
Currently valued at $15.8 billion, Iren is trading approximately 36.5% below its all-time highs. If current contracts hold, particularly the Microsoft agreement with an 85% EBITDA margin, Iren’s total capacity could potentially generate $43.65 billion in revenue, leading to adjusted EBITDA of around $37 billion. However, funding for further expansions remains a critical concern.
