Borealis: Secures $148 Million in Financing for Data Center Expansion
Deal News | Apr 03, 2025 | White & Case LLP
Global law firm White & Case LLP has advised on a significant $148 million financing deal for the Borealis Data Center. Borealis, predominantly owned by Vauban Infrastructure Partners, will use the funds to expand its operations in Iceland and Finland. This expansion aims to capture the growing market for artificial intelligence and high-performance computing services. The deal, consisting of a $135 million term loan from Infranity, a French infrastructure investment firm, and a $13 million revolving credit facility from Iceland's Arion Bank, underscores the strategic efforts being made to bolster sustainable data center infrastructures in these regions. The advisory team from White & Case, led by partner Amaury de Feydeau in Paris, played a crucial role in structuring the financing.
Sectors
- Infrastructure
- Data Centers
- Financial Services
- Legal Services
Geography
- Iceland – Borealis Data Center is expanding its operations in this country, necessitating significant financing.
- Finland – The expansion of Borealis Data Center into Finland is a key part of the growth strategy highlighted in the article.
- France – Infranity, the firm providing substantial term loans, is a French infrastructure investment entity.
Industry
- Infrastructure – This financing concerns Borealis Data Center's expansion, funded by infrastructure-focused investment firms and involves sustainable infrastructure development.
- Data Centers – Borealis Data Center operates in the data center industry, focusing on sustainable data solutions, expanding its reach to support AI and HPC customers.
- Financial Services – The involvement of lenders and the structuring of financing highlight the financial services industry, particularly in infrastructure financing.
- Legal Services – White & Case LLP's advisory role in this transaction exemplifies the legal services industry's involvement in facilitating complex financial deals.
Financials
- $148 million – Total financing amount secured for the expansion of Borealis Data Center.
- $135 million – Portion of financing provided by Infranity as a term loan.
- $13 million – Portion of financing provided by Arion Bank as a revolving credit facility.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Borealis Data Center | Target Company | Company | A sustainable data centers builder and operator focusing on expansion to support AI and HPC sectors. |
| Vauban Infrastructure Partners | Majority Stakeholder/Owner | Company | Holds a 92.2% stake in Borealis Data Center through its Core Infrastructure Fund III. |
| Infranity | Lender/Bidder | Company | French infrastructure investment firm providing $135 million in term loans for Borealis' expansion. |
| Arion Bank | Lender | Company | Icelandic bank providing a $13 million revolving credit facility for the Borealis expansion project. |
| White & Case LLP | Legal Advisor | Company | Global law firm advising lenders on Borealis Data Center's financing. |