Hut 8 Secures $1.07 Billion Credit Facility to Expand AI Data Center Investment
Summary
- Hut 8 said it secured financing capacity to expand its AI data center business after signing a $1.07 billion credit facility agreement.
- Hut 8 said it can use the credit facility for power-grid interconnection deposits and equipment supplier costs tied to AI data center infrastructure development, reducing the cash burden in the early stages of projects.
- Hut 8 said that if it uses the facility, it must maintain liquidity equal to 40% of the total credit line from the end of March 2027, with that threshold later falling to 25%.
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Bitcoin miner Hut 8 has secured more than $1 billion in financing capacity to expand its artificial intelligence data center business.
CryptoSlate reported on September 29 that Hut 8 recently entered into a $1.07 billion credit facility agreement with a four-year term.
Hut 8 plans to use the credit line to fund infrastructure development, including AI data centers.
The facility can cover costs tied to data center development, including power-grid interconnection deposits and payments to equipment suppliers. The company said that would ease the upfront cash burden in the early stages of projects.
Hut 8 has not drawn any funds under the facility. As of September 24, when the agreement was finalized, no amount had been borrowed.
If it uses the facility, Hut 8 must maintain liquidity above a set threshold. Starting at the end of March 2027, it must initially hold liquidity equal to 40% of the total credit line, with that requirement later dropping to 25%.
Hut 8 has recently expanded beyond Bitcoin mining into businesses including AI data centers. The new credit facility gives it more flexibility to fund related infrastructure development.
Uk Jin
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