WhiteFiber Inc. (WYFI) shares tumbled 24.3% in after-hours trading on Tuesday to $20.50, extending losses from the regular session as investors reacted to a proposed $250 million convertible senior note offering due 2032.
The company also disclosed plans to acquire two industrial properties in Yadkin County, North Carolina, for $60 million in cash, aiming to convert them into data center campuses with an initial gross utility capacity of at least 60 MW and long-term potential of approximately 200 MW. Proceeds from the note issuance will partially fund exchange transactions for WhiteFiber’s existing 4.500% convertible notes due 2031.
The convertible senior notes will be structured as general senior unsecured obligations convertible at the company’s discretion into cash or ordinary shares. Initial purchasers have a 13-day option to acquire an additional $37.5 million. The proposed financing follows WhiteFiber’s announcement of the property acquisition just one day prior.
Shares opened at $28.83 on Tuesday but fell below $20.50 during after-hours trading, placing the stock near the lower end of its 52-week range of $10.51 to $46.87. The Nasdaq Composite declined 1.7% during the regular session.
WhiteFiber operates in cloud services and colocation, targeting AI and high-performance computing workloads. The company did not immediately respond to requests for comment.
