NEXTDC Ltd, an Australian data-center operator, secures $1.9 billion syndicated loan from banks to expand its operations in Asia, including Malaysia, as demand for digital infrastructure surges.
Scroggie claims that the company will have more than AUD 3 billion ($2.02 billion) to fund the deployment of nine sites throughout the region, including Malaysia, Japan, New Zealand, and Thailand, thanks to the syndicated loan and a AUD 750 million ($504 million) capital raise announced on Tuesday.
In a bourse statement on Tuesday, NEXTDC announced that the business has now effectively concluded an institutional placement, raising about AUD 550 million ($370 million) by issuing roughly 32.1 million new shares.
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The Commonwealth Bank of Australia, HSBC Holdings plc, National Australia Bank Ltd., and Royal Bank of Canada are leading the NEXTDC loan, according to Bloomberg.
The money raised from the capital raise will be used for general business expenses, transaction charges, and the purchase of new data center development locations throughout Asia.
After being bought, the Asian sites are anticipated to increase the company’s pipeline for developing data centers in Asia. Eventually, this will also contribute to NEXTDC’s targeted capacity of over 1GW, which is based on its current portfolio of data center sites.
Scroggie said, “The strong support for this placement highlights continued investor confidence in NEXTDC’s growth strategy and long-term vision, As AI continues to drive unprecedented demand for accelerated computing, the need for scalable, high-performance digital infrastructure has never been more vital,”.
The business is still actively planning and assessing its growth in these new markets, including the negotiation and appraisal of potential sites in Bangkok, Thailand (BK1), and Johor, Malaysia (JB1).
About NEXTDC
NEXTDC is an innovative technology firm listed on the ASX100, providing connectivity services and data center outsourcing solutions to facilitate business transformation. NEXTDC is the most reputable supplier of high-end data center solutions in Australia, being the largest locally owned and operated data center company in the country.
