[5] Archaeological excavations around the town have shown that people have lived in Lilleådalen as far back as 2,000 BC in the Nordic Stone Age.

Hadsten was mentioned for the first time in 1432 as Halstiern suggesting to come from the Old Norse word tjærn which means "little lake", while the neck also in Old Danish refers to the narrowing the small river valley have of Kollerup Gods.

[further explanation needed] The water level this river at that time has stood 2–3 meters higher than it is today - which is why the valley was marked by lakes.

The modern town was founded on 3 September 1862, when Den østjyske længdebane (The Eastern Jutland Railway) opened.

[6] The town was at the plant of the East Jutland stretch of railway line, which was officially inaugurated on 3 September 1862.