PaleBlueDot seeks $600M credit to buy chips in Korea for RedNote
TL;DR
- PaleBlueDot AI is negotiating $600 million in private credit to buy chips for a South Korea site whose compute will serve Xiaohongshu.
- Brookfield Asset Management is among the potential lenders, with the facility set to pay a yield in the low teens; terms are not final.
- The deal would more than double the $255 million GPU-backed note PaleBlueDot closed with Brookfield and Tor Investment Management in July 2026.
US-based PaleBlueDot AI is in talks for $600 million of private credit to buy chips for a site in South Korea whose compute would be used by Chinese social platform Xiaohongshu, Bloomberg reported on September 30.
Brookfield Asset Management is among the potential lenders. Per the reporting, 'Brookfield is set to provide part of the loan, which would pay a yield in the low teens.' Terms are not final.
It would be the neocloud startup's biggest single financing to date, more than double the $255 million GPU-backed note PaleBlueDot closed with Brookfield and Tor Investment Management in July 2026. The company crossed a $1 billion valuation in January after a $150 million Series B round.
The arrangement routes chips destined for a Chinese platform through Korean-hosted infrastructure, with Brookfield financing a US operator sitting in between. 'The chips would be used by Xiaohongshu, the popular Chinese lifestyle social media platform also known as RedNote,' the coverage states.
Originally reported by bloomberg.com
Read the original article →Original headline: PaleBlueDot AI seeks $600M private credit to buy chips for Korea site backing Xiaohongshu