AirTrunk Closes $10.38 Billion Sustainability-Linked Refinancing

AirTrunk, Asia-Pacific & Japan (APJ) hyperscale data centre specialist, said that it has closed a $10.38 billion (ex-Japan) refinancing, the region’s largest-ever sustainability linked financing. The multi-transaction financing covers key greenfield and operational assets across Australia, Hong Kong, Malaysia and Singapore.

AirTrunk first introduced a sustainability linked loan (SLL) in 2021, amounting to $1.36 billion which was refinanced to $2.98 billion in 2023. The landmark $16 billion financing, takes the company’s total financing platform to over $10.38 billion, including Japan, cementing its position as one of the largest issuers of sustainable finance in the global data centre industry. 

A consortium of over 60 banks and financiers backed the financing, reinforcing strong market confidence in the company’s responsible growth in the region. The refinancing comprises four individual transactions which are each sustainability linked, structured as either green loans or SLLs, AirTrunk said.

AirTrunk has established ambitious KPIs across energy and water efficiency, renewable energy adoption, and gender pay equity, ensuring the company takes accountability for accelerating its sustainability performance, including reaching net zero emissions by 2030.

All margin incentives from the sustainability linked financing will continue to be directed to AirTrunk’s social impact fund, which will increase in size and impact over the course of the loans.

In Singapore, the $1.75 billion green loan will support the development of AirTrunk SGP2 in Loyang and is Singapore’s largest loan and green loan for a data centre.

In Melbourne, the green loan is the largest in APJ and the first globally to feature margin adjustments linked to a social impact program – a mechanism traditionally used in SLLs.

AirTrunk is also the first publicly known corporate to embed disaster relief into its financing structure through the social impact fund, with margin savings supporting emergency response efforts in local communities.

Debt financing Platform Grows

AirTrunk Founder & CEO Robin Khuda said that following AirTrunk’s over $15.54 billion acquisition by Blackstone and CPPIB in 2024, they have expanded the debt financing platform to enable the company’s rapid growth across the region.

“By linking all $10.38 billion of our financing to sustainability, we demonstrate our long-term commitment to scale responsibly, building essential digital infrastructure to power the digital economy, while delivering lasting positive environmental and social impact,” Khuda said.

AirTrunk Vice President, Treasurer, Luke Stephens said that this refinancing is a major milestone in the company’s sustainable finance journey, driving both innovation and transparency.

“From leading the industry with the first SLL in 2021 to today’s landmark multi-transaction structure, we’ve consistently pushed boundaries to drive responsible growth and create meaningful social value. It’s an honour to collaborate with such a diverse group of financiers and partners to deliver a market-leading solution that aligns capital with purpose and sets a benchmark for others to follow,” he added.