Galaxy Announces $460 Million Strategic Investment from a Leading Asset Management Firm

Rhea-AI Summary

Galaxy (Nasdaq: GLXY) entered investment agreements for a $460 million private strategic investment at $36 per share, consisting of 9,027,778 shares bought from Galaxy and 3,750,000 shares bought from executive officers. Proceeds will fund general corporate purposes and the buildout of the Helios data center campus, targeted to deliver 133 MW critical IT load in H1 2026 as part of Phase One lease agreement. The Investment is expected to close on or about October 17, 2025, subject to customary conditions including Toronto Stock Exchange approval. Galaxy plans to file a resale registration statement for the sold shares.

Positive

• $460M strategic investment at $36 per share
• Company proceeds include 9,027,778 shares purchased from Galaxy
• Funds allocated to Helios campus to deliver 133 MW in H1 2026
• Expected close on or about October 17, 2025

Negative

• Share issuance of 9,027,778 from Galaxy may dilute shareholders
• Closing conditional on Toronto Stock Exchange approval
• 3,750,000 shares sold by executives reduces insider holdings
• Securities not registered in the US until a resale filing is effective

Insights

Corporate Finance Strategist

Large institutional $460 million stake shores up balance sheet and accelerates Galaxy's Helios data center buildout.

Galaxy secured a private strategic investment of $460 million at $36 per share from a major asset manager, with 9,027,778 shares purchased from the company and 3,750,000 from executives including the Founder and CEO. The proceeds are earmarked for general corporate purposes and to fund the Helios data center campus, which the company reports remains on schedule to deliver 133 MW of critical IT load in the first half of 2026.

Primary dependencies and risks include customary closing conditions and regulatory approval by the Toronto Stock Exchange, with the transaction expected to close on or about October 17, 2025. Also watch execution risk on the Helios buildout and the company's forthcoming financial update, scheduled before market open on October 21, 2025, which will provide near-term clarity on cash position, use of proceeds, and any changes to operational timelines.

NEW YORK, Oct. 10, 2025 /PRNewswire/ - Galaxy Digital Inc. ("Galaxy") (Nasdaq: GLXY) is pleased to announce that, following an agreement reached earlier this week, it today entered into investment agreements with one of the world's largest and most respected asset managers for a $460 million private strategic investment in Galaxy's Class A common stock (the "Investment"), consisting of a purchase of 9,027,778 shares from Galaxy and 3,750,000 shares from certain executive officers of Galaxy, including its Founder and CEO, at $36 per share.

Galaxy intends to use the proceeds from the Investment for general corporate purposes and to power the buildout of its Helios data center campus, which remains on schedule to deliver 133 MW of critical IT load in the first half of 2026 as part of its Phase One lease agreement.

"Strengthening our balance sheet is essential to scaling Galaxy's data center business efficiently while maintaining the financial flexibility to support future growth," said Mike Novogratz, Founder and CEO of Galaxy. "Having one of the world's largest and most sophisticated institutional investors make such a significant investment in our company will support our strategic vision and our ability to build leading businesses across digital assets and data centers."

The Investment is expected to close on or about October 17, 2025, subject to customary closing conditions, including approval by the Toronto Stock Exchange.

The offer and sale of the foregoing securities are being made in a transaction not involving a public offering and the securities have not been registered under the Securities Act of 1933, as amended (the "Securities Act"), and may not be reoffered or resold in the United States except pursuant to an effective registration statement or an applicable exemption from the registration requirements. Galaxy has agreed to use commercially reasonable efforts to file a resale registration statement with respect to the shares sold in the Investment.

In connection with this announcement, Galaxy also announced the date of its third quarter 2025 financial results, which will be reported before the opening of Nasdaq on Tuesday October 21, 2025.

Michael Novogratz, CEO and Founder of Galaxy, and members of management will host a conference call to provide an update to investors and analysts on the Company's activities and results on the same day at 8:30 AM Eastern Time. 

A live webcast will be available at https://investor.galaxy.com/ and on the Company's YouTube channel. A replay of the webcast will be available and can be accessed in the same manner as the live webcast on the Company's Investor Relations website.

This press release is issued pursuant to Rule 135c under the Securities Act and does not constitute an offer to sell or a solicitation of an offer to buy any securities described herein, nor shall there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state or other jurisdiction.

ABOUT GALAXY DIGITAL INC.

Galaxy Digital Inc. (Nasdaq/TSX: GLXY) is a global leader in digital assets and data center infrastructure, delivering solutions that accelerate progress in finance and artificial intelligence. Our digital assets platform offers institutional access to trading, advisory, asset management, staking, self-custody, and tokenization technology. In addition, we develop and operate cutting-edge data center infrastructure to power AI and high-performance computing workloads. Our 800 MW Helios campus in Texas, which has an additional 2.7 GW of power under study, positions Galaxy among the largest and fastest-growing data center developments in North America. The Company is headquartered in New York City, with offices across North America, Europe, the Middle East, and Asia. Additional information about Galaxy's businesses and products is available on www.galaxy.com

Forward-Looking Statements

This press release includes forward-looking statements, including statements regarding the completion, timing, terms and size of the Investment and the intended use of proceeds. Forward-looking statements represent the Company's current expectations regarding future events and are subject to known and unknown risks and uncertainties that could cause actual results to differ materially from those implied by the forward-looking statements. Among those risks and uncertainties are the satisfaction of the closing conditions related to the Investment and risks relating to the Company's business, including those described in periodic reports that the Company files from time to time with the SEC. The Company may not consummate the Investment described in this press release and, if the Investment is consummated, cannot provide any assurances regarding its ability to effectively apply the net proceeds as described above. The forward-looking statements included in this press release speak only as of the date of this press release, and the Company does not undertake to update the statements included in this press release for subsequent developments, except as may be required by law.

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SOURCE Galaxy Digital Inc.

FAQ

What is the size and price of the strategic investment in Galaxy (GLXY)?

A $460 million private investment at $36 per share.

How many shares did Galaxy issue as part of the $460M GLXY investment?

Galaxy sold 9,027,778 shares and executives sold 3,750,000 shares.

What will Galaxy (GLXY) use the $460M investment for and timeline?

Proceeds fund general corporate purposes and Helios buildout targeting 133 MW in H1 2026.

When is the GLXY investment expected to close and what approvals are needed?

The Investment is expected to close on or about October 17, 2025, subject to customary conditions including TSX approval.

Will GLXY shareholders see dilution from the $460M deal?

Yes; Galaxy issued 9,027,778 shares as part of the Investment, which may dilute existing holders.