Pure DC secures about $1.9B financing framework, adds FAB

Oaktree Capital Management-backed Pure Data Centers Group (Pure DC) has secured a financing framework of about $1.9 billion to fund its build-out across Europe and the Middle East. The package includes a $780 million Platform Growth Facility and a $1.1 billion accordion that lets the company expand its borrowing.

Citigroup Global Markets, First Abu Dhabi Bank (FAB) and Infranity join existing lenders ABN Amro, Allianz Global Investors and Sumitomo Mitsui Banking Corporation.

Pure DC is a London-based data center developer targeting 3 GW of total capacity. It works with energy companies on more integrated power supplies, including on-site generation at its Dublin campus.

The company operates a 20 MW building on Abu Dhabi’s Yas Island, where the campus can grow to 48 MW. In Riyadh, it has a joint venture with Dune Vaults on a campus designed for an initial 57.6 MW and able to exceed 100 MW.

The money will go toward land and power for future campuses. Pure DC will use the facility to support its development pipeline and buy future sites, and part of it will go toward securing energy for new data centers.

Pure DC tried to raise financing in the bond market earlier this year, then dropped the plan when traditional lenders offered more favorable terms.

Financing for large AI campuses has become more expensive, and lenders more selective, as investors grow concerned about the debt flowing into AI infrastructure. Pure DC has raised more than $6.2 billion in a year, including $2.7 billion in May, of which $2.15 billion was backed by its Dublin and Amsterdam campuses. In July it added €1.3 billion in senior debt for the first phase of its Seinäjoki AI campus in Finland.

FAB is the only Gulf lender in the new group. It also backed the $2.6 billion, 10-year facility for G42-owned Khazna Data Centers last year, alongside ADCB.

Executive Chairman and interim CEO Gary Wojtaszek expects the new debt to make it easier to raise equity by validating the company’s business model.

”People are just recognizing how the value associated with controlling the real estate and doing development is much safer than what some of the other investment alternatives are,” he said.