The company is the only data centre operator to raise funds this way. In order to cultivate its real estate site, wholesale colocation provider Vantage Data Centers has raised another $225m by issuing securitized notes. The notes are rated A- by Standard & Poors. Vantage was the very first data centre company to secure financing in this way – raising $1.125bn in Feb 2018 – enabling it to repay existing credit agreements with reduced rates of interest, and, along with a $500m investment from Digital Bridge, to finance its physical expansion projects.
– Dream big.
The company’s CFO, Sharif Metwalli, stated that having researched both traditional and alternative way of funding, the company was pleased with the response from the investment community.” . He added: This transaction offers us with additional abrasive powder to fund our growth in new and existing markets, meeting our hyperscale, cloud and business clients where they want the wholesale, renewable facilities we provide.” . Founded in 2010, Vantage was originally backed by important technology investor Silver Lake Partners. Then, earlier this year, it was obtained by a consortium led by international investment company Digital Bridge for $1.2bn. Its very first campus, a former Intel installation, on which the firm recently finished the last expansion with four story, 15MW data centre, is the biggest wholesale website in Silicon Valley – the third biggest data centre market in the US. The company has no intention of curtailing its aspirations for growth, and is constructing a $1bn, 108MW campus in Ashburn, Virginia. In its first stage, the website provides 24MW of total power capacity, with 6MW available in early 2019.
In addition, Vantage lately broke ground on a second campus in Santa Clara, which can support up to 69MW worthiness of IT.