AirTrunk Secures A$4.25 Billion Green Loan for Sydney Data Center Expansion

AirTrunk, a data center operator backed by Blackstone, has secured a A$4.25 billion (approximately US$2.98 billion) green loan to finance the expansion of its SYD3 hyperscale campus in Western Sydney. The company stated the deal represents one of the largest lending groups ever assembled for a data center project in Australia, signaling strong investor confidence in the digital infrastructure sector.

Financing Details

The financing was arranged with a consortium of 32 local and international financial institutions. According to a company statement, the green loan was underwritten by 14 lead banks, including:

• DBS Bank
• MUFG Bank
• National Australia Bank
• HSBC
• UOB

Sumitomo Mitsui Banking Corporation, HSBC, and UOB also acted as the green loan coordinators for the transaction. This new funding brings AirTrunk’s total committed debt financing to approximately A$38.4 billion globally, with over A$19.8 billion dedicated to its Australian projects.

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Strategic Expansion

The capital is earmarked for the continued development of AirTrunk's SYD3 campus, which the company describes as one of Australia’s largest hyperscale data centers. The expansion is designed to meet the growing regional demand for cloud computing, artificial intelligence (AI), and other digital services utilized by businesses, government entities, and local communities.

Construction on the expanded SYD3 development is currently underway, with completion expected by mid-2028. The project underscores the critical role of large-scale data infrastructure in supporting Australia's digital economy. For investors, this move highlights the significant capital expenditure required to build out the physical infrastructure underpinning the growth of AI and cloud services.