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Hut 8 Closes $3.25 Billion of Investment-Grade Senior Secured Notes in Landmark Financing for River Bend Data Center Project
First single-sponsor data center project to access the investment-grade construction bond marketFully amortizing 16.5-year tenor eliminates refinancing risk
About this update from Hut 8 Corp.
[{"type":"text","content":"First single-sponsor data center project to access the investment-grade construction bond marketFully amortizing 16.5-year tenor eliminates refinancing risk and funds development without recourse to Hut 8 or dilution to shareholdersMIAMI, April 30, 2026 /PRNewswire/ -- Hut 8 Corp. (Nasdaq, TSX: HUT) (\"Hut 8\" or the \"Company\"), an energy infrastructure platform integrating power, digital infrastructure, and compute at scale to fuel next-generation, energy-intensive use cases, today announced the closing of a $3.25 billion offering (the \"Offering\") of 6.192% senior secured notes due 2042 (the \"Notes\") issued by its wholly-owned subsidiary, Hut 8 DC LLC (the \"Issuer\"). The Notes are rated BBB− with a Positive Outlook by S&P Global Ratings and BBB− with a Stable Outlook by Fitch Ratings.\n \n \n \n \n \n \n \nThe Issuer intends to use the net proceeds from the Offering to (i) finance the development and construction of a turnkey data center with 245 megawatts of critical IT capacity and the related substation at Hut 8's River Bend campus (collectively, the \"Project\"), (ii) make a distribution to Hut 8 of approximately $184 million representing a return of prior equity contributions used to fund capital expenditures relating to the Project, and (iii) fund debt service reserves.This Offering establishes a first-of-its-kind financing model for data center development: investment-grade, institutionally validated, free of refinancing risk, and capital-efficient.Institutional Validation of Hut 8's Development Program: Hut 8 has secured investment-grade ratings on a construction-stage data center bond, a credit standard rarely achieved before commercial operations. The Notes constitute the first investment-grade construction bond issued for a single-sponsor data center project. The Offering validates Hut 8's development program — site origination, counterparty selection, supply chain, engineering, construction delivery, and risk mitigation — and the contracted cash flows of the 15-year triple-net lease.Long-Tenor, Fully Amortizing Structure Eliminates Refinancing Risk: Hut 8's investment-grade market access supported a 16.5-year tenor matched to the construction period and the 15-year contracted lease term. The Notes are fully amortizing over this tenor, with scheduled principal and interest funded by contracted lease cash flow...