Hut 8 Corp. Enters $1.07B Senior Secured Revolving Credit Facility

What Happened

• Hut 8 Corp. announced on its 8-K (filed Sept. 28, 2026) that it signed a Credit Agreement on Sept. 24, 2026 establishing a senior secured revolving credit facility of up to $1,070.0 million, with JPMorgan Chase Bank, N.A. as administrative and collateral agent.
• No amounts were outstanding at closing. Borrowings are available until the fourth anniversary of the closing date and may be used for general corporate purposes and working capital.

Key Details

• Facility size: up to $1,070.0 million, including a $1,070.0 million letter of credit sublimit.
• Interest: company may choose Adjusted Term SOFR + margin (initially 1.75%) or alternate base rate + margin (initially 0.75%); margins vary (SOFR: 1.50%–2.00%; ABR: 0.50%–1.00%) based on leverage metric.
• Security and guarantees: obligations are guaranteed by certain restricted subsidiaries and secured by first‑priority liens on substantially all assets (subject to exclusions).
• Covenants and liquidity: customary covenants and events of default apply; the Company must maintain minimum liquidity at quarter‑end — 40% of commitments before a defined Stabilization Date, and 25% after — with limited equity cure rights.

Why It Matters

• This facility provides Hut 8 with a large committed source of liquidity and flexibility for working capital or general corporate needs, which can help manage operations and respond to market conditions without immediate equity issuance.
• The secured, covenant‑based structure and minimum liquidity requirements impose financial and operational commitments that investors should monitor, including potential impacts if Hut 8 needs to draw on the facility or if covenant thresholds are not met.