CyrusOne continues to secure funding for data center growth

July 9, 2024
The company has raised $9.7 billion in new debt capital in the past months.

On July 8, data center owner, developer, and operator CyrusOne announced that it has closed a $7.9 billion Warehouse Credit Facility, bringing the company’s new debt capital to $9.7 billion when combined with a $1.8 billion Revolving Credit Facility financing that CyrusOne completed in May.

CyrusOne reports that funds from the Warehouse Credit Facility will go primarily toward existing and future United States projects; the global Revolving Credit Facility funding will go towards working capital and general corporate purposes.

CyrusOne CIO Fran Federman reported that the capital facilities will provide CyrusOne with attractively priced capital and enhanced liquidity.

“Our ability to raise these debt facilities and the tremendous interest that we have received from the lender community are a testament to the strength of our business and the market’s confidence in our ability to continue to build on the significant momentum we have achieved thus far,” said Federman in a press release.

The facilities are structured such that debt pricing will be adjusted upon CyrusOne attaining targeted greenhouse gas emission levels—a commitment the company has reaffirmed with its recent sustainability report.

Addressing AI power use and sustainability concerns, Eric Schwartz, CyrusOne CEO, said in a Data Center Frontier Executive Roundtable that all participants in the value chain are working to address the growing demand for digital infrastructure, and CyrusOne is continually upgrading and improving the power efficiency and sustainability of its facilities.

“Increasingly,” said Schwartz, “our data center designs incorporate more elements for future flexibility, particularly with regard to support of new cooling technologies and increasing power densities.”

In the press release, Schwartz expressed the importance of continued support from financial partners. 

“The successful closing of this significant financing, combined with our strong business outlook for growth, expands our ability to deliver world-class digital infrastructure projects that meet the growing needs of our customers while positioning CyrusOne for future investment and development opportunities,” he said.

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About the Author

Hayden Beeson

Hayden Beeson is a writer and editor with over seven years of experience in a variety of industries. Prior to joining Lightwave and Broadband Technology Report, he was the associate editor of Architectural SSL and LEDs Magazine. 

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