Hut 8 Secures $4.25 Billion for Texas AI Data Center

Hut 8 has made a major move in its transition to a digital infrastructure company by pricing $4.25 billion of senior secured notes for the construction of an AI data center in Texas.

The planned campus, known as Beacon Point, will have six data halls with a combined 352 megawatts of critical IT capacity and will be built on approximately 521 acres of land in Nueces County, Texas. The project will also include the construction of an on-site substation.

The notes are investment grade and will be used to fund the development of the Beacon Point data center project. They will pay interest semiannually in cash and mature on November 30, 2042. The debt will be fully amortizing, with principal payments scheduled to begin on May 30, 2030.

Hut 8's shift towards digital infrastructure is driven by the growing demand for data center capacity and access to electricity becoming a central constraint for AI infrastructure. This transformation also highlights the ability of bitcoin mining companies to leverage their power expertise in entering the AI and high-performance computing market.