AdaniConneX raises $213 mn to build two data centers in Noida & Chennai

• AdaniConneX ties up a debt facility of $213 mn to finance construction of two data centres in India.
  
• India’s data centre capacity in India is expected to double from an estimated 870 MW in FY22 to 1700-1800 MW by FY25.
  
• This facility will help the company accelerate the construction of data centres, given that demand is showing a steady uptick.
  

In a move that will accelerate plans of delivering critical digital infrastructure for building local data centres, AdaniConneX, a 50:50 joint venture between Adani Enterprises (AEL) and EdgeConneX (ECX), has executed a $213 mn senior debt facility with participation from international banks. The debt will finance its under-construction data centre portfolio of 67 MW in Noida and Chennai.


India is one of the fastest-growing data centre markets in the world, and as per CRISIL estimates the data centre capacity in India is expected to double from an estimated 870 MW in FY22 to 1700-1800 MW by FY25. AdaniConneX achieved financial closure through its maiden construction facility by entering into Financing Framework, raising USD 213 mn for its under-construction data centre asset portfolio. The current facility will finance two data centres with an aggregate capacity of 67 MW that includes ‘Chennai 1’ campus with Phase 1 of 17 MW and Noida campus of 50 MW. To address the growing need for reliable IT infrastructure, AdaniConneX is investing capital with a mission to build a 1 GW Green Data Center platform, enabled by hyperscale to hyperlocal data centre investments across the country.


The platform infrastructure financing was finalised through the framework agreement with international lenders, which will institutionalise the development agenda for AdaniConneX. ING Bank N.V., Mizuho Bank, Ltd., MUFG Bank, Natixis, Standard Chartered Bank, and Sumitomo Mitsui Banking Corporation have committed to the facility. The access to the wide pool of liquidity strengthens AdaniConneX strategy to fast-track the implementation of the under-construction asset portfolio in sync with accelerating demand.


“The construction facility is the key ingredient of AdaniConneX capital management plan, providing the pathway for us to deliver on-time a reliable and sustainable data centre capacity of 1 GW by 2030,” said Mr Jeyakumar Janakaraj, CEO of AdaniConneX.


“The achievement marks a significant milestone in developing this transformative initiative, which is set to revolutionise the digital infrastructure in India.” “We are committed to delivering a pan-India Data Center platform,” said Anil Sardana, Director of AdaniConneX (Adani representative on the board). The facility shall encourage overall implementation philosophy to power the digital infrastructure by delivering clean and long-term renewable energy solutions aiming toward a carbon-neutral footprint. EdgeConneX's extensive data centre expertise and industry-leading technology solutions combined with Adani’s expertise in full-stack energy management, renewable power, and project development are set to transform the sector.


AdaaniConneX, is a 50:50 JV between Adani Enterprises and EdgeConneX, was founded with a vision to redefine the data centre landscape in India. AdaniConneX envisions to build an environmentally and socially conscious 1GW data centre infrastructure platform by leveraging the complementary capacity of the Adani Group, India’s largest infrastructure player, and EdgeConneX, one of the largest private data centre operators. In a land of innovators, data centre solutions need to be ahead to accelerate ambition and AdaniConneX mirrors this vision of Digital India.