Jet.AI partners with Consensus Core to develop AI data center in Canada

LAS VEGAS - Jet.AI Inc. (NASDAQ:JTAI), a $9.8 million market cap technology company with a notably strong liquidity position, and Consensus Core Technologies have signed a definitive agreement to jointly develop a hyperscale data center campus in Midwestern Canada, according to a press release statement issued Thursday. InvestingPro data shows the company maintains more cash than debt on its balance sheet, with a healthy current ratio of 2.9x.

The project aims to leverage Canada’s low-cost energy resources and natural cooling advantages to serve growing demand for AI computing infrastructure. The site is located near a major natural gas pipeline with access to high-capacity electrical transmission lines. This strategic move comes as InvestingPro analysis indicates the company needs to address its profitability challenges, with negative EBITDA of $12.6 million in the last twelve months.

Under the agreement, Jet.AI will contribute up to $20 million USD to the joint venture in five tranches tied to specific development milestones. In return, Jet.AI will receive a 17.5% equity promote upfront and additional equity interest upon each investment.

The planned facility will initially target 100MW of capacity as part of a broader 500MW development. The exact location remains confidential pending further disclosures as the companies work toward defined milestones.

"We’re creating an AI factory optimized for the next generation of AI workloads," said Wayne Lloyd, CEO of Consensus Core, which serves as an NVIDIA cloud service partner.

The agreement includes milestone-based funding, with initial contributions of $300,000 upon signing, followed by four additional tranches ranging from $1.7 million to $12 million as specific development targets are met. These milestones include power load studies, environmental permits, and securing hyperscale tenant commitments.

Consensus Core will contribute 100% of the equity of the Midwestern Project to the joint venture. The partnership represents Jet.AI’s transition toward becoming a "pure-play AI data center enterprise" focused on addressing infrastructure shortages in the artificial intelligence market. According to InvestingPro Fair Value analysis, the stock appears undervalued at current levels, potentially making this strategic pivot particularly timely for investors. InvestingPro subscribers have access to 12 additional key insights about JTAI, including detailed financial health metrics and growth projections.

In other recent news, Jet.AI Inc. has announced a joint venture with Consensus Core Technologies Inc. to develop two hyperscale data-center campuses in Canada. The partnership aims to deliver approximately 1.5 gigawatts of power capacity to meet the growing demand for AI compute resources. The Midwestern Project, currently with 2 MW of capacity, is expected to expand to 100 MW within the next 12 months, while the Maritime Project will start with 40 MW of available capacity and plans to scale beyond 1 gigawatt. Jet.AI has made an initial investment of US $2 million, securing a 20% general partner interest in each project and an 8% equity stake in the joint venture’s holding company. The company also has the option to increase its total commitment up to US $20 million, which would raise its ownership in the joint venture to 19.9%. Mike Winston, Jet.AI’s Founder and Executive Chairman, emphasized the disciplined approach and strategic positioning of the projects as globally recognized AI compute hubs. Wayne Lloyd, CEO of Consensus Core, highlighted the importance of grid power and green energy in addressing power bottlenecks. The collaboration leverages Jet.AI’s capital markets expertise and Consensus Core’s real estate and infrastructure knowledge to support the deployment of next-gen AI-powered products.

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