Galaxy Digital Secures $460M Investment for Data Center Expansion

• Galaxy Digital secures $460M from a major asset manager to expand its AI-focused Helios campus.
• The move marks its strategic shift from crypto mining to high-performance computing infrastructure.

Galaxy Digital has received a substantial investment from an unnamed large asset manager, which has solidified its stance in the data center market that is currently booming. The investment indicates institutional belief in the strategic change of Galaxy to stop cryptocurrency mining and move to artificial intelligence infrastructure. This financing comes as the company is hastening the establishment of its Helios campus, which makes it a major player in AI computing infrastructure.

Strategic Capital Infusion Powers AI Ambitions

The investment package amounts to $460 million and includes the purchase of close to 13 million shares of Class A at a price of $36 per share. The newly issued stock is approximately 9 million shares, with the remaining shares owned by the company executives, such as founder Mike Novogratz. The per-share price is an 8.5%  discount to Friday’s market closing value, which is customary in large private placements.

Galaxy will channel proceeds into the growth of the Helios data center campus, which was initially purchased by the troubled miner Argos in 2022. The initial stage of the facility will provide 133 megawatts of computing power in early 2026 to support high-performance computing.

This growth comes after Galaxy announced in the summer that it would raise an extra 1.4 billion, showing that the company has continued to gather momentum in its capital raising activities.

The shift of Bitcoin mining to AI infrastructure is indicative of the larger industry trends since the profitability of mining has deteriorated greatly. Galaxy realized the shifting market trends and re-packaged Helios to cater to artificial intelligence and high-performance computing clients instead. The facility has already been committed to by AI cloud provider CoreWeave to lease all 800 megawatts of approved power capacity.

CEO Novogratz highlighted that by improving the balance sheet, it will be possible to scale efficiently and still have financial flexibility to pursue growth opportunities in the future. He pointed out that the attraction of one of the largest institutional investors in the world justifies the vision of Galaxy in the digital assets and data centers. The market reacted well as Galaxy shares increased 3% in after-hours trading after the announcement.

This investment highlights an institutional interest in AI infrastructure assets and the ability of Galaxy to shift its cryptocurrency business to diversified technology services.

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