en.Wedoany.com Reported - Data center company Switch has increased its available debt financing capacity to $9.5 billion. The company, led by Rob Roy, currently holds over $6 billion in corporate revolving credit facilities and has simultaneously expanded its existing syndicated uncommitted standby letter of credit facility (LCF) to $3.5 billion. In April of this year, the company disclosed that it held $2.6 billion in LCF.
Switch stated that these additional credit facilities will be used to advance its "fully contracted development pipeline, support gigawatt-scale campus growth, and further enhance the company's ability to secure the transmission and power generation resources required for large-scale delivery of critical AI and cloud infrastructure." Switch CFO Madonna Park noted that the company has built an integrated platform over the years to address grid constraints, covering everything from large-scale campus development to power procurement and advanced data center design. She pointed out that the additional financing capacity provides the company with greater flexibility to invest in its contracted pipeline and meet customer demand. Jon Edwards, Switch Executive Vice President and Head of Capital Markets, added that this transaction reflects the strength of the company's platform and the confidence financial institutions have in its contracted development pipeline. By expanding corporate revolving credit and letter of credit capacity, the company will further strengthen liquidity to support disciplined capital deployment for the next phase of growth.
Founded in 2000, Switch currently operates large "Prime" data center campuses in Austin, Texas; Reno and Las Vegas, Nevada; Grand Rapids, Michigan; and Atlanta, Georgia. Over the past year, the company has applied for further expansion in Austin and Atlanta and acquired additional land in Las Vegas. DigitalBridge and IFM Investors privatized Switch in December 2022 in an $11 billion deal, and Australian pension fund Aware Super invested $500 million in Switch in 2023. Initially focused on traditional enterprise data center workloads, the company has shifted in recent years to providing AI-ready capacity to hyperscale companies. According to The Information, investors including Brookfield Asset Management and KKR are preparing to participate in equity financing negotiations valued at $50 billion.
This article is compiled by Wedoany. All AI citations must indicate the source as "Wedoany". If there is any infringement or other issues, please notify us promptly, and we will modify or delete it accordingly. Email: news@wedoany.com
