Active Energy Group (AIM:AEG) has entered into an AED 6.5 million (approximately £1.3 million) funding facility with a private investment fund to bankroll further UAE infrastructure site acquisitions.
The AIM and OTCQB-listed company is developing power-backed critical infrastructure across the UAE for bitcoin mining, artificial intelligence and high-performance computing applications.
The facility carries fixed interest of 5% a year and will fund site deposits, acquisition payments, and technical and development expenditure as AEG evaluates several additional sites.
The company's priority is larger opportunities, reflecting discussions with counterparties including Bitdeer, which has indicated a preference for deployments of around 20 MW and above; AEG previously flagged a potential 60 MW UAE site under evaluation, alongside its non-binding letter of intent with Bitdeer signed in April.
It will also pursue smaller, strategically attractive sites with a credible near-term pathway to energisation as bolt-on capacity.
The facility runs for 12 months, repayable in 10 monthly instalments starting two months after drawdown, and carries a 5% arrangement fee.
Alongside drawdown, AEG will issue the lender warrants over 758.33 million shares, equivalent to approximately 11.1% of existing issued share capital, split between exercise prices of 0.15p and 0.20p, representing premiums of 88% and 150% respectively to Tuesday's 0.08p close.
"Our priority is larger sites capable of delivering the scale required by international counterparties such as Bitdeer, but speed to power is equally important," chief executive Paul Elliott said.
The company's first operational UAE asset, Ghummud, was generating approximately $110,000 a month as of its early September update, with Active Energy also pursuing an additional 6 MW energised site and early-stage talks on requirements of up to 100 MW.