Nikolas Sargeant
TL;DR
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Hut 8 submitted the winning $140 million bid for Poolin’s Pyote and Tarbush data center sites in Texas.
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The offer is nearly three times the combined $52 million opening bids submitted by stalking-horse bidder Thor CALAP.
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The transaction remains subject to approval from the US Bankruptcy Court for the District of New Jersey.
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Poolin entered Chapter 11 bankruptcy with approximately $173.1 million in obligations, mostly involving claims from Poolin Wallet users.
Hut 8 has emerged as the winning bidder for two Texas data center sites owned by bankrupt cryptocurrency mining company Poolin, submitting an offer valued at $140 million.
The bid covers Poolin’s Pyote and Tarbush facilities and consists of cash and other consideration, according to a court filing submitted Wednesday.
The sale is not yet final. It requires approval from the US Bankruptcy Court for the District of New Jersey, with a hearing scheduled for September 29.
If approved, the acquisition would add to Hut 8’s expanding data center portfolio as the company shifts more of its attention from bitcoin mining toward the growing market for artificial intelligence computing infrastructure.
Hut 8 Bid Nearly Triples Opening Offer
Hut 8’s $140 million offer substantially exceeded the initial floor price established for the two properties.
Thor CALAP submitted combined stalking-horse bids totaling $52 million, offering $15 million for the Pyote campus and $37 million for the Tarbush site.
A stalking-horse bidder makes the opening offer for assets being sold through bankruptcy.
That bid establishes a minimum price and provides the seller with a confirmed buyer while allowing competing parties to submit higher offers through an auction process.
Hut 8’s winning proposal came in at nearly three times the value of Thor CALAP’s combined bids, suggesting strong competition for power-connected data center assets.
Separate backup bids were also submitted for each location. DigiPower X offered $36.5 million for the Pyote facility, while Pecos Industrial Development bid $100.5 million for Tarbush.
Pecos acted as a designee of AI infrastructure company Fluidstack, further demonstrating demand for sites capable of supporting high-performance computing workloads.
Backup bidders may be called upon if the winning transaction fails to close, although Hut 8 remains the selected buyer, subject to approval from the bankruptcy court.
Court Approval Is Still Required
The court will consider the proposed sale at a hearing scheduled for September 29. Bankruptcy judges generally evaluate whether an asset sale represents the highest or otherwise best available offer for creditors. The bidding process, purchase terms, and any objections from interested parties may be reviewed before approval is granted.
Until the court signs off and the closing conditions are satisfied, Hut 8 does not own the Pyote or Tarbush campuses.
The filing described the proposal as involving cash and other consideration, but the report did not provide a detailed breakdown of each component. Final transaction terms could become clearer through subsequent court documents or company disclosures.
The difference between the initial $52 million floor and Hut 8’s $140 million offer could improve potential recoveries for Poolin’s creditors, although the proceeds may still fall short of covering all claims against the bankrupt businesses.
Poolin Owes Creditors About $173 Million
Poolin and two US affiliates filed for Chapter 11 bankruptcy protection in July after winding down mining and hosting operations at the Texas sites.
Court documents placed the companies’ total obligations at approximately $173.1 million. Around $163.7 million of that amount consists of unsecured IOUs owed to Poolin Wallet users.
The claims originated after Poolin froze wallet withdrawals in 2022. Unsecured creditors do not have specific assets pledged against the money they are owed, meaning their recoveries depend on the remaining value of the bankruptcy estate after higher-priority claims and administrative expenses are addressed.
Selling the Texas facilities is intended to convert physical assets into funds that can be distributed through the restructuring process.
Even at $140 million, the winning bid is lower than Poolin’s reported total obligations. The amount ultimately available to wallet users and other unsecured creditors will depend on transaction costs, secured claims, other estate assets, and the court-approved distribution plan.
Acquisition Supports Hut 8’s AI Infrastructure Expansion
The two sites would expand Hut 8’s physical infrastructure as the company pursues growing demand for AI and high-performance computing capacity.
Hut 8 reported in August that its development pipeline had reached approximately 8.7 gigawatts by the end of the second quarter. That represented an increase of around 300 megawatts from the previous quarter.
A development pipeline includes prospective projects at different stages and does not mean that all capacity is currently operational, financed or under construction. Still, the figure indicates the scale of Hut 8’s ambitions in power-intensive digital infrastructure.
The company has also secured 949 megawatts of contracted AI infrastructure capacity across its River Bend and Beacon Point campuses. Hut 8 estimates those agreements represent approximately $26.6 billion in expected contract value.
That figure reflects projected value over the duration of the contracts rather than immediate revenue and will depend on the sites being developed and the agreements being fulfilled as planned.
