Bell Canada and Bird Construction have agreed to a long-term strategic partnership to support a multi-year, Canada-wide AI data-centre buildout under Bell AI Fabric.

As part of the agreement, Bird will issue Bell warrants to purchase up to 2,625,000 Bird common shares at an exercise price of $52 per share, representing a potential total purchase value of $136.5 million. The warrants, which are subject to Toronto Stock Exchange approval, will vest over five years, with 750,000 warrants vesting upon completion of Bell AI Fabric’s Sherwood, Sask., facility just outside Regina and the remainder tied to future AI data-centre projects delivered by Bird.

Bell also announced that Bird has been selected as lead construction partner for the Sherwood facility, the first project under the strategic partnership. The 300-megawatt data centre in the Rural Municipality of Sherwood was first announced in March and is intended to serve customers Sunnyvale, Calif.-headquartered Cerebras and Livingston, N.J.-based CoreWeave. The first phase is expected to come online in the first half of 2027.

The Sherwood project forms a key part of Bell AI Fabric’s strategy to develop sovereign, Canadian-built AI infrastructure. Regina-based Alton Tangedal Architect Ltd. has been appointed architect of record, while George Gordon Developments will oversee site services and support Indigenous procurement and workforce-development initiatives. George Gordon Developments is owned by the George Gordon First Nation. The project also builds on work already underway with Saskatchewan contractors, including Regina-based Hipperson Construction.

“Canada’s AI economy needs world-class digital infrastructure, and we need partners with the scale, discipline and Canadian footprint to build it on time,” said Dan Rink. “The team announced today gives us that foundation in Saskatchewan. With Bird as our preferred construction partner, we are well-positioned to continue to build out critical AI infrastructure for Canada in the years to come.”

The Sherwood project represents Bell’s largest-ever investment in Saskatchewan and is expected to become the largest purpose-built AI data-centre development in Canada, the company said previously. Once fully built, the facility could generate up to $12 billion in economic value for Saskatchewan through job creation, tax revenues and related benefits. Construction is expected to create at least 800 jobs in trades and engineering, with a minimum of 80 full-time positions once operational. Industry estimates suggest as many as 750 additional community jobs could be supported, according to Bell.

The data centre will online in phases. The first stage is anticipated to be operational in the first half of 2027.

“Bell is making one of the most significant technology infrastructure investments in Canada’s recent history, and we are proud to have been selected as lead construction partner for the Sherwood facility, working alongside other Saskatchewan partners,” said Terri McKibbon, president and CEO of Bird. “The strategic long-term partnership advances our Mission Critical platform and reinforces our position as the partner of choice for Canada’s largest and most complex infrastructure projects, including large-scale AI data centres, where our integrated self-perform electrical, mechanical, civil and systems capabilities as a leading specialty contractor are increasingly differentiated.”

Previously, Bell said the Sherwood project will support AI initiatives across Saskatchewan’s public sector and post-secondary institutions, including potential collaborations with Saskatchewan Polytechnic and the University of Regina.

Rendering: Bell Canada