Hut 8 Surges 11% After Securing Two $9.8B AI Data Center Leases
Hut 8, an AI infrastructure service provider, has secured a $9.8 billion lease for its Beacon Point campus, doubling its capacity to 704MW. This is the second major lease deal for the company in recent days, boosting its stock price by 11%. The developments signal a significant expansion in AI infrastructure investment.
Hut 8 (NASDAQ: HUT) shares jumped roughly 11% after the company signed a second 15-year, 352MW lease at its Beacon Point AI data center campus in Nueces County, Texas, carrying a base-term contract value of $9.8 billion. The agreement fully commercializes the 1-gigawatt campus: the same high-investment-grade tenant that signed the Phase 1 lease has now doubled its contracted capacity to 704MW, lifting the campus-level base-term contract value to $19.6 billion.
The economics explain the market reaction. Hut 8 expects the campus to contribute about $655 million in average annual net operating income at stabilization, and three five-year renewal options could raise the total campus contract value to as much as $50.2 billion if fully exercised. Initial Phase 2 data-hall delivery is targeted for the second quarter of 2028.
The back-to-back leases mark Hut 8's pivot from bitcoin mining toward contracted AI infrastructure, a model that trades commodity-price volatility for long-dated, credit-backed cash flows. Investors will watch construction execution, the tenant's power drawdown pace, and how Hut 8 finances the buildout as the next signals on whether the backlog converts to earnings on schedule.
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