Miami’s own energy-infrastructure company just landed over a billion dollars without giving up an inch of equity.
Hut 8 closed a $1.07 billion revolving credit facility on September 24. The company is headquartered at 777 Brickell Avenue. The four-year facility funds AI data center financing at the parent level, ahead of any single project’s own debt.
The facility was undrawn at closing, according to Hut 8’s regulatory filing. Borrowing costs start at 175 basis points over Term SOFR. That rate can move between 150 and 200 basis points based on the company’s debt-to-market-cap ratio.
Certain restricted subsidiaries guarantee the facility. The debt is secured by liens on most of Hut 8’s assets and its guarantors’ assets, with standard exclusions. Hut 8 also pays a 25 basis point fee on any unused commitment.
Why Structure the Debt This Way?
Up to the full $1.07 billion can back letters of credit instead of cash draws. Hut 8 can use those letters to cover interconnection deposits and payments owed to utilities and equipment vendors.
That matters because AI data centers need capital years before they generate revenue. Interconnection queues, utility deposits and long equipment lead times all demand cash upfront.
“This Facility adds more than $1 billion of committed, non-dilutive bank liquidity at the parent level,” said Sean Glennan, Hut 8’s chief financial officer.
Glennan said the goal is flexibility on when and how the company deploys capital. AI infrastructure has gotten more capital-intensive every year.
Dilutive equity raises have become common across the AI infrastructure sector. This facility lets Hut 8 sidestep that route, at least for now.
J.P. Morgan led the deal as arranger, bookrunner and administrative agent. Citi, Goldman Sachs and Morgan Stanley served as joint lead arrangers. Twelve lenders make up the syndicate.
A Parent-Level Cushion, Not Project Debt
This revolver sits apart from Hut 8’s project-level financing, which already totals $7.5 billion. That money is non-recourse and funds two specific campuses.
A $3.25 billion bond backs the company’s River Bend site. A $4.25 billion bond backs Beacon Point. Both amortize in full and carry investment-grade structuring.
Hut 8 reported 949 megawatts of IT capacity under contract in its second-quarter results. The company estimates roughly $26.6 billion in expected value across those contracts’ full terms.
Starting in the first quarter of 2027, Hut 8 must hold liquidity equal to at least 40% of its total commitments. That threshold drops to 25% once the company hits a defined stabilization milestone.
From Bitcoin Miner to Power-First Platform
Hut 8 launched in 2017 as a straightforward bitcoin mining company. It has since evolved into a “power-first” platform. That platform secures large energy capacity and routes it toward HPC, AI data centers and digital assets.
That evolution accelerated with a 2024 merger between the original Canadian bitcoin miner and US Bitcoin Corp.
The combined company set up headquarters on Brickell Avenue, arranging billion-dollar bank financing from a Miami address.
Hut 8’s next test comes in 2027. Its AI campuses need to prove they can generate the cash flow this financing was built to bridge.