DigitalOcean secures $725M financing facility – BizWest

DigitalOcean (DOCN) shares rose 5.1% to $123.82 after announcing a shift to an AI-native cloud platform, introducing Managed AI Agents, and securing a $725M financing facility for AI infrastructure expansion. Institutional buying from Corient Private Wealth also supported the rally. The stock has gained 153% year-to-date but remains 31.7% below its 52-week high.

DigitalOcean secured a $725M equipment financing facility, maturing in 2030, with an option for an additional $300M. The funds will support AI cloud capacity expansion, including GPU and CPU acquisitions, to meet increasing demand. The company aims to align infrastructure investments with revenue generation. DigitalOcean serves over 680,000 customers globally.

DigitalOcean (NYSE:DOCN) secured a $725M equipment finance facility, maturing in 2030, with an option to add $300M. The funds will support capacity expansion for its cloud platform. The company's CFO highlighted strong financial health and confidence in its 2026 and 2027 guidance.

DigitalOcean secured a $725M equipment finance facility with MUFG, expandable to $1.025B. The funding, at a fixed rate of term SOFR swap plus 2.75%, will support data center hardware purchases through 2027, amortizing to 2030. According to the company, this financing will support growth and equipment investments.

DigitalOcean (DOCN) secured a $725M equipment financing facility, with an option for $300M more, to expand capacity for its AI-Native Cloud platform. The funds will be used to acquire GPUs, CPUs, and other equipment to meet growing customer demand. The facility matures in 2030. According to the company, this aligns cash outflows with revenue at an attractive cost of capital.

DigitalOcean (DOCN) stock surged 13% on Tuesday after its AI infrastructure pitch at the Goldman Sachs conference. The company reported 85% of AI revenue from high-margin services and raised 2026 growth outlook above 35%. Analysts' average target is $175, 38% above the new close, with a mid-case model valuing it at $566 by 2030, a 347% return.