Data center solutions provider EdgeConneX has announced the successful execution of a $403.8 million deal in Sustainability-Linked Senior Facilities to support its expansion plans in Jakarta, Indonesia. This transaction will facilitate the development of multiple data centers in the region, bringing EdgeConneX’s Indonesian hyperscale campus in Jakarta to over 120MWs.
The expansion in Jakarta is strategically important due to the city’s status as the largest in Indonesia with a population of over 33 million people. Jakarta serves as a crucial gateway to Southeast Asia for commerce, trade, and technology, making it a high-growth market with substantial opportunities for cloud service providers looking to enhance their cloud access, content delivery, and connectivity services.
The financing deal is notable for its sustainability-linked features, aligning with EdgeConneX’s commitment to environmental responsibility. It includes Offshore U.S. Dollar borrowing with margin adjustments contingent on meeting specific Key Performance Indicators (KPIs). These KPIs focus on improving the Power Usage Effectiveness (PUE) of EdgeConneX’s data centers, increasing the use of renewable electricity, and achieving safety goals.
EdgeConneX’s approach is in line with its “Customer, People, Planet” strategy, which embodies a comprehensive sustainability policy aimed at becoming a carbon-neutral, waste-neutral, and water-neutral data center provider by 2030. As part of this forward-looking strategy, EdgeConneX is actively developing and operating a data center platform powered entirely by renewable energy.
The company’s commitment to sustainability aligns with a broader industry trend toward greener data center operations. As the digital economy continues to grow, the energy consumption of data centers has come under scrutiny. Sustainable practices, including the use of renewable energy sources and energy-efficient technologies, are becoming increasingly important for data center providers.
EdgeConneX’s investment in sustainability-linked financing not only supports its expansion plans but also underscores its dedication to environmental responsibility, reflecting the evolving priorities of the data center industry.
Overall, this funding initiative demonstrates EdgeConneX’s commitment to combining growth with environmental stewardship, reinforcing its position as a leader in sustainable data center solutions.
