GPU lenders in a colocation facility

Can the GPU owner pledge the contract, and can its lenders get in to take the servers?

Most GPU loans are secured on servers that sit in someone else’s data centre. The lender needs three things from the colocation contract: the servers stay the borrower’s personal property, the contract can be pledged, and the lender can get in to remove the servers after a default. The Enovum–Nscale contract gives all three in terms, with conditions. The Vernon contract treats any pledge of the customer’s interest as a transfer that needs the provider’s consent.

Randeep Bubbra | Lawyer | Making the next generation of infrastructure financeable · Firm profile · Updated 29 October 2026

What the filed contracts say

Contract	What the filed wording says
Enovum / Nscale MSA	The servers stay the customer’s personal property and are not fixtures. The customer may remove them at any time, subject to the site rules.
Enovum / Nscale MSA	The customer may pledge the contract to its lenders on notice, and Enovum will work in good faith on an agreement giving the lenders access to remove the servers, on terms Enovum accepts.
Enovum / Nscale MSA	The lender must be an “Eligible Bank” unless Enovum agrees; the term is not defined in the filed copy. After a foreclosure, any onward transfer is in Enovum’s sole discretion.
Vernon colocation MCSA	A pledge of the customer’s interest, a lien on it, or a change of control of the customer is a “Transfer”.
Vernon colocation MCSA	No Transfer is valid without the provider’s written consent, which may not be unreasonably withheld.

The filed wording

Any of Customer’s Equipment shall be and remain Customer’s personal property, shall not be deemed fixtures hereunder and, subject to Enovum’s reasonable rules and regulations and access control systems, may be removed by Customer at any time.

Enovum (WhiteFiber)–Nscale master services agreement (NC-1), section 24(a) · WhiteFiber 10-K, Exhibit 10.29

Getting the servers out at the end A licence, not a lease: the facility lender comes first What lenders take as security over GPUs When a borrower fails Put it on an issues list All contract clauses

On the deal pages

Financings by the parties to these contracts

The latest debt raised by the companies that signed them, with the terms and the sources on each deal page.

Financing	Borrower or issuer	Date	Amount
Pre-IPO convertible loan-note subscription (initial minimum)	Nscale	15 September 2026	US$2.1bn
Dell short-term equipment lease payment schedules (aggregate)	Nscale	4 September 2026	US$2.54bn
North Carolina GPU DDTL	Nscale	31 August 2026	US$1.2bn
Ward County GPU DDTL	Nscale	31 August 2026	US$1.85bn
WhiteFiber 5.00% convertible senior notes due 2032	WhiteFiber	21 August 2026	US$310m

Method

Each extract is quoted from the contract as filed with the SEC, checked against the filed text when it was added; “…” marks words left out. Filers redact commercial terms, so a [***] or [*] is the filer's, not ours. The summaries describe the wording, not how a court would read it, and each contract's defined terms and other clauses can change the effect. General information drawn from public filings. It is not legal advice on any transaction, and using this page does not create a lawyer-client relationship. Views are personal.