Hut 8’s Beacon Point DC LLC has priced a $4.25 billion private placement of 6.129% senior secured notes due 2042 with semi-annual cash interest and full amortization beginning May 2030. Proceeds will finance a 352 MW, six-hall data center and substation on a 521-acre site in Nueces County, Texas.
The offering comprises $4.25 billion of 6.129% senior secured notes due November 30, 2042, with semi-annual interest payments and full amortization starting May 30, 2030. The notes carry first-priority liens on Beacon Point DC LLC’s assets and are non-recourse to Hut 8.
Net proceeds will fund construction of a turnkey data center with six halls totaling 352 MW of critical IT capacity on a 521-acre site in Nueces County, Texas, alongside a dedicated substation. The facility will be leased to an AA-rated tenant under a long-term lease agreement.
The non-recourse structure isolates Hut 8 from direct liability, preserving balance sheet flexibility but relying on project cash flows. Construction and financing risks include potential cost overruns, supply chain delays, and regulatory approvals for the new data center campus.
