Mar 28, 2025 | Posted by Abdul-Rahman Oladimeji
US data center operator Switch has raised $3.5 billion, which it will use to refinance its existing debt. A statement from Switch said the company will use the cash to “refinance the majority of the company’s outstanding acquisition financing, which supported the take-private transaction led by DigitalBridge and IFM Investors in December 2022.”
“We are thrilled to announce the completion of two landmark transactions: our third ABS and our inaugural CMBS issuances,” said Thomas Morton, president of Switch. “These comprised $3.5 billion of new securitized debt, bringing our total issuance over the past 12 months to more than $5.2 billion. These two transactions, which we successfully closed only one month apart, make Switch the largest issuer of securitized data center paper during the past year.”
The CMBS deal relates to Switch’s Las Vegas 7, Las Vegas 9, and Reno 2 data centers, and all the lenders have received green bonds. The ABS transaction includes the company’s Las Vegas 10 and Las Vegas 11 data centers and is also designated as green bonds. Because of this, Switch claims the transactions represent the largest green data center deals of their type in history.