Hut 8 lands Google-backed $7B, 15-year AI lease with $17.7B renewal upside

Hut 8 signed a 15-year lease with AI infrastructure operator Fluidstack for 245 MW at its River Bend data center in Louisiana, a base deal valued at about $7 billion. Google will financially backstop lease payments and certain operating costs (energy, maintenance, taxes), providing strong credit support though it is not the direct tenant. The contract includes three five-year renewal options that could lift total value to as much as $17.7 billion. Analysts updated models and price targets: Cantor Fitzgerald raised its Hut 8 target to $72 (from $64), projecting roughly $6.9 billion of net operating income over the base term and assuming a PUE of 1.35; Canaccord raised its target to $62 (from $54) and increased River Bend’s per-share valuation. Hut 8 also reports 900 MW under construction and 1,255 MW under exclusivity, signaling a shift from primarily Bitcoin mining to AI and high-performance computing (HPC) revenue. The deal reduces Hut 8’s exposure to crypto price swings by locking long-term, predictable revenue and drew positive investor reaction and analyst support, sending HUT shares higher. For traders: the news strengthens Hut 8’s corporate credit profile and revenue visibility, lowering company-specific crypto risk, but it is a corporate infrastructure development rather than a direct protocol or token event.