Galaxy Digital will receive $460 million from a global investor to convert a former Helios mining farm in Texas into an AI data center.
Galaxy Digital to Invest $460 Million to Create AI Hub on Former Bitcoin Farm Site
Galaxy Digital has raised $460 million from one of the world’s largest asset managers to finance the transformation of a former Bitcoin mining facility into a high-performance computing center for artificial intelligence (AI).
The investment, valued at $36 per share, includes the issuance of about 9 million new shares and the sale of an additional 3.8 million shares by executives, including CEO Mike Novogratz. The deal is expected to close on October 17, subject to approval by the Toronto Stock Exchange.
From Helios to “Silicon Valley of Texas”
The proceeds will go to strengthen the company’s balance sheet and further expand the Helios campus in Dickens County, Texas, which Galaxy is converting into an AI cloud data center for provider CoreWeave.
- The first phase is planned to launch in the first half of 2026.
- The complex’s capacity will allow it to service tens of thousands of AI servers.
- After the expansion, Helios will become one of the largest data centers in the United States.
Galaxy acquired the facility from Argo Blockchain in 2022 for $65 million and later received $1.4 billion in financing for the renovation.
The company also signed a 15-year contract with CoreWeave, which is estimated to generate more than $1 billion in annual revenue.
Strategic Turn After the Halving
After the fourth Bitcoin halving in April 2024, many mining companies are looking for new directions for development.
The transition to AI infrastructure and HPC solutions has become a new driver for the industry.
“Strengthening our financial foundation is key to effectively scaling Galaxy data centers. We are pleased that one of the most powerful institutional investors has supported our vision of combining digital assets and computing technologies,” said Mike Novogratz.
Market reaction
Shares of Galaxy Digital (GLXY), which has been trading on the Nasdaq since May, reached a high of over $44, but closed just below $40 after a drop in technology stocks due to Donald Trump’s statements about new tariffs on Chinese imports.
After the news of the investment, quotes rose another 1.5% in the after-hours session.
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