Galaxy Digital to raise $300m for Helios data center expansion

Galaxy Digital is launching a $300 million convertible senior bond offering due 2029 to fund the expansion of its West Texas Helios data center and support corporate initiatives.

Mike Novogratz’s Galaxy Digital Holdings announced on Nov. 20 that it plans to offer $300 million of convertible senior notes through a private placement to develop high-performance computing infrastructure at its Helios data center in West Texas and for general corporate purposes.

The offering includes the option for initial buyers to purchase an additional $45 million in notes within 13 days of issuance. The bonds will accrue interest semi-annually and mature on Dec. 1, 2029, according to the press release.

“The issuer intends to use the net proceeds from the offering to support the creation of high-performance computing infrastructure at the Helios data center in West Texas and for general corporate purposes, including the potential repurchase of its existing indebtedness.”

Galaxy Digital

Galaxy increases investment in Bitcoin mining operations

Galaxy Digital’s board of directors also approved a corporate reorganization to redomicile the company in the United States. Under this plan, existing shareholders will convert their common shares into Class A common shares of Galaxy Digital Inc., a Delaware-based holding company.

The offering remains subject to approval by the Toronto Stock Exchange and will be limited to qualified institutional buyers and buyers under U.S. and Canadian securities laws.

Galaxy Digital acquired the Helios facility in late 2022. The 200-megawatt high-performance Bitcoin (BTC) mining and computing center located in West Texas’ Dickens County was originally developed by Argo Blockchain and is among the largest crypto mining sites in North America. .