Galaxy Digital closes $1.4-billion debt facility

Executive Summary

• Galaxy Digital Inc. has closed a $1.4 billion project financing facility to fund the retrofit and expansion of its Helios data center campus in West Texas, specifically to deliver the first phase of power for AI and high-performance computing (HPC) operations.
• The facility is secured under a long-term agreement with CoreWeave Inc., with the first phase of power delivery scheduled for early 2026. Galaxy provided $350 million in equity, while the remaining construction costs are covered by the debt facility.
• CoreWeave has now committed to the full 800 megawatts of approved power capacity at the Helios campus, with Galaxy anticipating average annual revenue of more than $1 billion over the 15-year term of the agreements.

Key Details

• Financing Structure:
  • Total facility size: $1.4 billion.
  • Equity contribution by Galaxy: $350 million.
  • Debt coverage: Remaining construction costs.
  • Loan-to-cost ratio: 80%.
  • Term: 36 months.
  • Security: Secured by all assets associated with the first phase of Helios's buildout.
• CoreWeave Agreement & Capacity:
  • First Phase: Initial retrofit and expansion fully funded by the new facility; power delivery expected early 2026.
  • Second Phase: Lease agreement executed in August for an additional 260 megawatts of critical IT load.
  • Additional Capacity: CoreWeave exercised a final option for an additional 133 megawatts.
  • Total Commitment: CoreWeave has committed to the full 800 megawatts of approved power capacity at the Helios campus.
• Financial Projections:
  • Galaxy anticipates generating average annual revenue of more than $1 billion over the 15-year term of the agreements with CoreWeave.
  • Projections assume full capacity utilization of critical IT load and are based on committed contractual terms and internal estimates for capital expenditures.
• Helios Campus Expansion:
  • Current Status: Advancing long-term infrastructure plan to build one of the largest AI data center campuses in the world.
  • Future Capacity: 2.7 gigawatts of additional power capacity is under various stages of load study.
  • Total Potential: At full buildout, the Helios data center campus has the potential to support up to 3.5 gigawatts.

Notable Quotes

• "This financing marks a major milestone in our transformation of Helios into a next-generation AI and HPC data centre campus... This project is a key step in diversifying Galaxy's business model as we expand beyond crypto and into the broader AI infrastructure space." — Mike Novogratz, Founder and CEO, Galaxy Digital Inc.
• "We're executing with focus and discipline to transform Helios into one of the largest and most advanced AI data centre campuses in the world. That scale is only possible because of the strategy and groundwork we've put in place, and the momentum our team is building every day." — Mike Novogratz, Founder and CEO, Galaxy Digital Inc.