Hut 8 Closes $3.25 Billion in Investment-Grade Notes for River Bend Data Center
Hut 8 (HUT) closed $3.25 billion in investment-grade senior secured notes on April 30, to fund construction of its River Bend data center project in Texas. The company called it a landmark financing round.
The deal marks one of the largest single capital raises by a publicly traded cryptocurrency infrastructure firm this year.
What the Deal Covers
The notes are senior secured and carry investment-grade ratings, according to a PR Newswire release published April 30. Hut 8 said the proceeds will go directly toward building out River Bend, a large-scale power and compute campus the company has been developing in Texas.
The company did not break down the note maturity schedule or interest rate in the press release summary.
Hut 8 describes itself as an energy infrastructure platform that integrates power, digital infrastructure, and compute capacity. The company holds dual listings on Nasdaq and the Toronto Stock Exchange under the ticker HUT.
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Background
Hut 8 has been expanding beyond pure Bitcoin (BTC) mining since its 2023 merger of equals with US Bitcoin Corp, a transaction that created an approximately $8 billion infrastructure platform.
That merger brought together two of North America’s larger mining operators under a combined entity with diversified revenue streams. Since then, Hut 8 has pursued data center and high-performance compute contracts alongside its mining operations, positioning the company within the AI infrastructure buildout trend that has drawn capital from across the technology sector.
River Bend is the most capital-intensive project the company has announced to date.
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What to Watch
River Bend’s construction timeline and the first drawdown of notes will be the next disclosures to watch. Investors will look for whether Hut 8 can secure hyperscaler or enterprise compute contracts to anchor the facility before construction completes.
A $3.25 billion debt obligation at investment-grade terms suggests institutional lenders have confidence in the project’s cash flow prospects, but the company will need signed tenant agreements to validate that view. Hut 8’s next earnings call should provide updated guidance on River Bend milestones and the company’s broader power capacity targets.
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