Data Center Developer DataBank Raises $2B for Portfolio Expansion
Pension fund AustralianSuper led the fundraise, committing $1.5B
By Nick Trombola October 15, 2024 2:26 pm
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One of the largest private data center providers in the U.S. is on track to get a whole lot bigger thanks to another 10-figure injection, adding more fuel to the rapidly expanding market for digital infrastructure.
Dallas-based DataBank landed $2 billion from a gaggle of investors to greatly expand its data center footprint, which currently consists of more than 65 facilities across 27 markets, together totaling about 330 megawatts. Australia-based pension fund AustralianSuper is the leading financier, committing $1.5 billion in its first U.S. data center market investment, according to DataBank.
Alternative asset manager DigitalBridge was also an investor in the latest funding round, according to DataBank, though it’s unclear how much funding the firm committed to the data center developer. A spokesperson for DataBank did not immediately respond to a request for more information.
The financing is expected to close by the end of this year. BofA Securities and Citizens Capital Markets served as the financial advisers for DataBank, while Citibank advised AustralianSuper.
DataBank has been on a funding tear over the past year, having raised a $725 million credit facility in April, a $456 million securitization in February, a $345 million construction loan last November, and a $188 million funding round the same month.
The firm over the past year has also announced three major development projects, in south Dallas, Northern Virginia and Atlanta. Once completed, those projects, along with other facility expansions across the firm’s footprint, will collectively add more than 850 megawatts to DataBank’s portfolio.
Nick Trombola can be reached at ntrombola@commercialobserver.com.
