APPLIED DIGITAL CORP (APLD) experienced a significant 24-hour surge of 7.54% during Wednesday's trading session, with the stock continuing to gain in post-market activity.
The sharp rise follows the company's announcement that it has entered into a landmark 15-year take-or-pay lease agreement with a U.S.-based high investment-grade hyperscaler for its fourth AI Factory campus, Polaris Forge 3. The agreement is valued at approximately $7.5 billion in base-term contracted revenue, with the potential to reach about $18.2 billion if all renewal options are exercised.
This transaction brings Applied Digital's total contracted lease revenue across its four campuses to $31 billion, potentially rising to $73 billion with renewals, while expanding its total contracted capacity to 1,200 MW of critical IT load. The deal represents the company's second long-term lease with this hyperscaler, further solidifying their strategic relationship and Applied Digital's position in the AI infrastructure market.