admin The financing, arranged through two non-equity dilutive facilities, gives the G42 company additional capital without requiring a share sale. The first facility, worth $240 million, was completed in February 2026, while the second, worth $310 million, was completed in May 2026. The structure is designed to match the capital-heavy deployment cycles of AI cloud infrastructure, where high-performance computing capacity must often be built ahead of sustained enterprise and government demand.
Core42 said the facilities would support large-scale capacity buildouts linked to long-term contracted demand and enterprise-grade workloads. The company, which specialises in sovereign cloud and AI infrastructure, has been expanding beyond the UAE through deployments in the United States and Europe, while positioning its platforms for customers that need compute power, data governance and regulatory compliance in tightly controlled environments.
The deal comes as AI infrastructure is being treated less as a short-cycle technology expense and more as a strategic asset class requiring long-term financing. Training, fine-tuning and running advanced models demand large quantities of graphics processors, specialised networking, data-centre capacity, power availability and cooling infrastructure. For governments, banks, healthcare providers, energy groups and other regulated sectors, demand is also shaped by where data is stored, who controls access and how cloud systems comply with local rules.
Neha Gupta, Core42’s chief financial officer, described the financing as a defining moment for the company and the broader AI infrastructure sector, saying it reflected growing institutional recognition of AI architecture as “long-duration, industrial-grade capacity”. She said the HSBC facilities would strengthen Core42’s ability to deploy capacity at speed across the US and Europe while maintaining financial discipline and a long-term growth framework.
HSBC’s participation underscores the role of structured trade finance in funding AI infrastructure, a field where capital needs can be substantial but revenue visibility may be supported by contracted demand from enterprise, government and hyperscale customers. Shaikha AlMarri, HSBC’s head of banking in the UAE, said the structures were intended to support Core42’s current deployments while creating a framework for streamlined access to funding for future initiatives.
Core42’s expansion is closely tied to the UAE’s broader strategy of becoming a significant AI and cloud infrastructure hub. The company operates within G42, the Abu Dhabi technology group that has built partnerships across cloud computing, healthcare, geospatial intelligence, data analytics and AI research. Microsoft’s $1.5 billion investment in G42 in 2024 added a major strategic dimension to that push, linking G42’s regional ambitions to Microsoft’s cloud and AI ecosystem while drawing close scrutiny over technology governance and cross-border controls.
The company’s sovereign cloud positioning is central to its commercial pitch. Core42 says its platforms are built for governments, enterprises, developers and researchers that require high-performance AI infrastructure with data residency, jurisdictional control and compliance controls. Its compute stack spans multiple accelerator technologies, including NVIDIA, AMD, Cerebras and Qualcomm, allowing customers to train, fine-tune and deploy workloads across different hardware environments.
Europe has become a key focus. Core42 has established a European headquarters in Dublin and says deployments are under way in Italy and France, supported by local governance partners. That expansion reflects rising demand across the continent for AI infrastructure that can balance model performance with sovereign data requirements, especially as governments and regulated industries seek alternatives to relying solely on conventional global cloud models.
The financing also sits against the backdrop of major AI data-centre projects involving G42 and global technology groups. Stargate UAE, an AI data-centre project in Abu Dhabi, is expected to begin operations in 2026 with an initial 200 megawatts of capacity, as part of a wider plan for a 5-gigawatt AI campus involving G42 and partners including OpenAI, Oracle, NVIDIA, Cisco and SoftBank.
