Hut 8 Announces Pricing of $4.25 Billion of Investment-Grade Senior Secured Notes for Beacon Point Data Center Project

• On June 4, 2026, Hut 8 announced pricing of a $4.25 billion private offering of 6.129% senior secured notes due 2042, issued through its subsidiary Beacon Point DC LLC.
• The non‑recourse project financing will fund the construction of a 352 MW turnkey AI data center and on‑site substation in Nueces County, Texas, which will be leased to a high‑investment‑grade tenant (rated AA‑ or higher) on a triple‑net basis.
• The notes are fully amortizing, secured by first‑priority liens on substantially all of the issuer’s assets, and are expected to close on June 9, 2026.
• This follows the May 6, 2026 announcement that the Beacon Point lease had been signed with a $9.8 billion base‑term contract value (potentially $25.1 billion with renewal options), and mirrors the earlier $3.25 billion investment‑grade financing for the River Bend data center.

• The most recent news is a follow‑through execution event that validates the company’s stated financing strategy, but it does not contain surprising new information. The Beacon Point project and its lease structure were disclosed a month earlier; the market already understood that project‑level, non‑recourse debt would follow. Thus, the pricing of $4.25 billion is a material positive – it removes funding uncertainty for Phase 1 – but falls short of a game‑changer because the transaction was widely anticipated.
• Scale and economics are transformative. The note offering alone is larger than the entire market capitalization of most peers. Combined with the River Bend $3.25 billion issuance, Hut 8 now has two fully‑funded, gigawatt‑scale AI campuses with contracted, investment‑grade offtake. The 6.129% coupon on a 16‑year non‑recourse note demonstrates a cost of capital that very few data‑center developers can access.
• Balance‑sheet risk remains isolated. The structure is explicitly non‑recourse to Hut 8 Corp., so the massive leverage does not impair the parent’s credit profile or liquidity. Parent‑level recourse debt remains limited to the Coatue convertible note.
• Stock reaction on June 4 was muted: The price closed at $177.50, down $5.63 from the prior session, suggesting the news may have been “sell the event” or that the massive equity run‑up already discounted the financing.
• Overall, the news solidifies the project and provides incremental evidence of execution capability, but it does not fundamentally alter the investment thesis beyond what was already priced in after the May 6 lease announcement.

Hut 8 Corp. is an energy‑infrastructure company that has pivoted from pure Bitcoin mining to become one of the largest developers of AI‑ready data center campuses in the United States. The company retains a significant mining operation through its affiliate, American Bitcoin Corp., but its value proposition now rests on two flagship projects:

• River Bend (West Feliciana Parish, Louisiana): A 245 MW IT (330 MW utility) AI data center campus with a 15‑year, $7.0 billion triple‑net lease to Fluidstack, backstopped by Google. Funded with a $3.25 billion investment‑grade bond. First data hall delivery targeted Q2 2027.
• Beacon Point (Nueces County, Texas): A 1 GW‑expandable campus. Phase 1 commercialized with a 15‑year, 352 MW IT lease to an unnamed AA‑or‑better tenant, carrying a $9.8 billion base‑term value. Now fully financed with the $4.25 billion senior secured notes. Initial energization Q1 2027; first data hall Q3 2027.

Together, these two campuses represent $16.8 billion in contracted base‑term revenue and $1.1 billion in expected annual net operating income. The company also operates a 205 MW owned data center (Vega) for Bitcoin mining and has an 8,375 MW development pipeline.