Galaxy Digital has raised $3.5 billion to finance the Texas data center it is building for CoreWeave, and the cost of that borrowing comes to about $346 million a year in interest. For this deal, the construction schedule is no longer just an operating milestone. It sits at the center of the company’s debt obligations through 2031.
On July 23, a Galaxy project subsidiary priced the senior secured notes at a 9.875% annual coupon. The transaction is expected to close on July 28, and the notes mature on Aug. 1, 2031.
Proceeds are tied to the Helios campus buildout
The financing will cover part of the construction of eight data halls across two buildings at the Helios campus in Texas. The site is planned for 400 megawatts of utility capacity and 260 megawatts of critical IT capacity, and part of the proceeds will also be set aside for debt service reserves.
In April 2025, CoreWeave committed about 260 megawatts of critical IT load for Phase 2. Galaxy said the terms are broadly similar to the previously announced Phase 1 agreement, which runs for 15 years and covers 133 megawatts.
Interest starts on schedule, principal waits for completion
At a 9.875% coupon, the notes imply about $346 million in annual interest. Cash interest payments begin in 2027 and are due each year on Feb. 1 and Aug. 1. The first payment covers only part of a full year, though Galaxy did not disclose the exact amount.
Principal follows a different timetable. The notes amortize at 4% of the original principal amount per year, subject to adjustment. Before any adjustment, that works out to about $140.28 million annually, paid in semiannual installments. The first principal payment is due no earlier than 10 months after the project is completed.
That structure creates a clear timing split: interest begins on fixed dates, while principal repayment depends on construction being finished and can still be adjusted. If delivery slips, Galaxy could be left making interest payments while principal repayment has not yet started.
Collateral is concentrated around the project
Creditors will hold first-priority claims over nearly all project assets, as well as the parent company’s equity interests in the issuer.
The disclosed liens cover Galaxy Helios Data Centers II LLC, its project guarantors, and the parent’s equity in the issuer. They do not extend to Galaxy Digital’s general corporate assets.
Delivery in 2027 is now the key test
Galaxy said on July 6 that Phase 1 had been completed on schedule, and that delivery of the Phase 2 data halls is expected to begin in the first half of 2027.
The financial consequences of the construction timeline are now explicit. Interest starts in 2027, but principal repayment depends on completion, putting Galaxy’s delivery schedule at the heart of both its CoreWeave arrangement and its debt burden ahead of the 2031 maturity.