Aligned closes $1bn credit facility and first US data centre sustainability-linked financing

17 September 2020 | Abigail Opiah


Data centre provider Aligned has announced the completion of a US$1 billion senior secured credit facility that is the first US data centre sustainability-linked financing.

The company said that the facility is one of the largest private debt raises in data centre history, consisting of a $650 million term loan, a $100 million delayed draw term loan and a $250 million revolving credit facility.

Aligned engaged TD Securities as the administrative and collateral agent; Goldman Sachs Lending Partners LLC as the syndication agent; and ING Capital LLC as the sustainability structuring agent.

“Aligned’s latest sustainability-linked financing accelerates our goal to set a best-in-class example for the data centre industry with respect to environmentally and socially sustainable growth,” said Anubhav Raj, CFO, Aligned.

“Sustainable practices and principles permeate every facet of Aligned’s organisation; aligning these initiatives with our financing further demonstrates an industry-leading commitment to environmental stewardship.”

TD Securities, Goldman Sachs Bank USA, Citizens Bank, N.A., Deutsche Bank AG, New York Branch and Nomura Securities International, Inc. served as joint book-runners and joint lead arrangers for the facility.

“As experts in sustainable finance, ING identified Aligned's potential early on as a leader committed to solving sustainability challenges associated with data centre infrastructure,” said Pim Rothweiler, regional head for technology, media and telecom, ING Americas.

“Following the company’s rapid growth over the last few years, ING was able to bring its deep expertise in the sector and sustainable finance to be named the Sustainability Coordinator for this landmark deal, a first of its kind.

“We look forward to working with Aligned in the future as it continues to meet its sustainability targets.”

The facility in the US data centre sector provides Aligned with additional capital to accelerate corporate, customer and community-related sustainability initiatives as well as short and long-term growth objectives.

The company added that its sustainability-linked financing is tied to its core environmental, social and governance (ESG) objectives, and Key Performance Indicators (KPIs).