Galaxy Digital’s $3.5B Texas AI Deal: The $346M Annual Interest Reality

Woofun AI reports that Galaxy Digital has finalized a $3.507 billion financing package to support CoreWeave’s Helios campus development in Texas, a transaction defined by its substantial carrying costs. This strategic capital injection targets the construction of two buildings comprising eight data halls, establishing a critical infrastructure node for the AI compute market.

The facility specifications mandate 400 megawatts of utility capacity alongside 260 MW of critical IT load, with proceeds also allocated to debt-service reserves.

Structurally, the financing is bifurcated to manage immediate construction needs against long-term operational demands, ensuring liquidity buffers are maintained during the build-out phase.

Woofun AI data shows the 9.875% coupon generates $346.3 million in annual interest, payable in cash on Feb. 1 and Aug. 1 starting in 2027. While the initial payment covers a partial year, principal amortization begins at 4% of the original balance, equating to $140.28 million annually before adjustments. These semiannual installments commence no earlier than 10 months post-completion, extending the obligation through 2031.

Security is strictly ring-fenced, with creditors holding first-priority claims on Galaxy Helios Data Centers II LLC and the parent company’s equity stake in the issuer. Liens do not extend to Galaxy Digital’s broader asset base, isolating risk to the project entity. This structure places the delivery timeline at the core of the financial equation, as interest accrues from 2027 while principal repayment remains contingent on construction milestones.