Vantage Data Centers completes $9.2 billion equity investment

Vantage Data Centers completes $9.2 billion equity investment

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The landmark investment was led by DigitalBridge and Silver Lake

The move reflects $2.8 billion upsize in capital raise to support global hyperscalers in meeting unprecedented cloud and AI demand.

The capital raise saw significant interest and was upsized by $2.8 billion, involving multiple global investors and resulting in a total of $9.2 billion. Combined with the €1.5 billion investment by Australian Super announced in September 2023, the total new investment in Vantage over the past nine months amounts to approximately $11 billion.

More than $7 billion of this is primary equity, aimed at funding Vantage’s expansion across North America and EMEA. This will enhance the company’s ability to partner with global hyperscalers to meet the unprecedented demand for cloud and AI services.

Vantage Data Centers has experienced substantial growth, owning or controlling more than 25 sites in North America and EMEA with an expected capacity of over three gigawatts. The new funding is set to propel further growth, driving an estimated $30 billion in additional development.

The investment will enable the continuation of Vantage’s development of next-generation data centres, featuring energy-efficient and sustainable designs tailored for AI and large-scale cloud deployments.

“It’s exciting to experience such strong investor demand to fuel our unprecedented growth across North America and EMEA,” said Sureel Choksi, president and CEO of Vantage. “The confidence that DigitalBridge, Silver Lake, and other investors have in Vantage and our ability to execute, as evidenced by an investment round that was significantly oversubscribed, is a testament to our team’s track record of delivering for our customers. This new funding from the world’s leading digital infrastructure and technology investors, along with numerous co-investors, is a game changer that uniquely positions Vantage to capitalise on the incredible AI and cloud opportunity in front of us.”

Jon Mauck, senior managing director at DigitalBridge, who leads the company’s data centre investment strategy, echoed this sentiment. “DigitalBridge is excited to continue its support of Vantage, a proven infrastructure partner for the world’s top cloud and technology platforms,” said Mauck. “This investment allows Vantage to further accelerate the development of next-generation infrastructure to support the continued adoption of cloud and AI technologies.”

Silver Lake’s co-CEO and managing partner, Greg Mondre, along with managing director Lee Wittlinger, also expressed their enthusiasm for the partnership. “Our conviction in Vantage’s leadership in developing and delivering next-generation capacity for the world’s most significant hyperscalers has never been greater, and we are thrilled to be joined by an elite group of investors in this important partnership,” he said.

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