Hut 8 to Sell $3B in Investment-Grade Bonds to Fund Google-Backed AI Data Center

Bloomberg, cited by ChainCatcher, reports that a project tied to Bitcoin miner Hut 8 Corp. is marketing investment-grade secured bonds to finance construction of a data center linked to Google (Alphabet Inc.). The notes are slated to mature in 2042, with initial price talk around 213 basis points over the benchmark. The deal is expected to raise at least $3 billion to build a 245-megawatt, 600,000-square-foot facility in St. Francisville, Louisiana. Goldman Sachs, JPMorgan Chase and Morgan Stanley are leading the offering. The project is set to earn revenue from a 15-year lease with cloud-computing startup Fluidstack valued at roughly $7 billion. Google is providing financial support for lease payments and other obligations. Power will be supplied under a service agreement by a subsidiary of Entergy Corp. Hut 8, a publicly traded Bitcoin mining company, is repositioning as an energy and digital infrastructure firm. It also holds a controlling stake in U.S. Bitcoin Corporation, which is associated with Eric Trump and Donald Trump Jr.