US information Middle operator Flexential has introduced a significant funding from Morgan Stanley Infrastructure Companions (MSIP), marking a big step within the firm’s enlargement technique. With this strategic funding, alongside continued assist from GI Companions, Flexential is positioned to speed up its development and additional meet the growing demand for superior information heart infrastructure options.
The funding from Morgan Stanley Infrastructure Companions, the quantity of which isn’t defined intimately, mixed with the assets of GI Companions, would come at a vital time for Flexential, because the demand for digital infrastructure continues to rise, pushed by enterprise digital transformation, cloud adoption, and the rising wants of hyperscale and AI workloads.
Flexential already operates greater than 40 extremely related information facilities throughout the U.S., with a complete capability of over 325 megawatts (MW), together with each constructed and under-development services. This new funding would allow the corporate to reinforce its US broad FlexAnywhere platform and improve its presence in key markets.
Christopher Ortega, Head of the Americas at MSIP, highlighted the strategic nature of the funding, saying, “We’re thrilled to collaborate with Flexential at this pivotal juncture within the group’s growth. We consider Flexential is well-positioned to capitalize on market alternatives resulting from its robust next-generation infrastructure, dedication to innovation, and monitor report of business management.” Mr. Ortega added that MSIP seems to be ahead to supporting Flexential’s development and success within the coming years.
As a part of the deal, each MSIP and GI Companions will act as co-control buyers in Flexential, offering a considerable quantity of capital to gasoline ongoing growth and enlargement efforts. This partnership goals to additional solidify Flexential’s function as a key participant within the information heart and digital infrastructure business, with each buyers dedicated to advancing the corporate’s development trajectory.
Speed up Flexential’s Development Trajectory
“The brand new partnership with Morgan Stanley Infrastructure Companions represents an amazing alternative for Flexential to additional speed up our development trajectory,” mentioned Flexential CEO Chris Downie.Travis Pearson, Managing Director and Co-Head of Personal Fairness at GI Companions, emphasised the significance of the collaboration, stating, “Flexential has confirmed its management within the dependable supply of vital information heart companies to among the most refined prospects on this planet. The management staff has paved the best way for sustained development, and we’re excited to welcome Morgan Stanley Infrastructure Companions as a accomplice to assist drive the corporate’s future success.”
Flexential CEO Chris Downie echoed these sentiments, noting that the brand new funding offers a big alternative for the corporate to speed up its growth plans and meet rising market demand. “The brand new partnership with Morgan Stanley Infrastructure Companions, mixed with the robust basis laid with GI Companions, represents an amazing alternative for Flexential to additional speed up our development trajectory and units the stage for future strategic alternatives,” mentioned Chris Downie. He added that the extra capital will allow Flexential to proceed increasing its infrastructure and delivering modern options to its prospects, additional strengthening its place as a frontrunner within the information heart business.
The transaction is anticipated to shut within the fourth quarter of 2024, pending regulatory approvals. This funding would mark a vital step for Flexential because it continues to place itself on the forefront of the digital infrastructure sector.
Authorized counsel for Flexential was offered by Ropes & Grey with Goldman Sachs & Co. serving because the unique monetary advisor for each Flexential and GI Partners. MSIP obtained monetary recommendation from Evercore, whereas Citi acted as its main monetary advisor. Authorized steering for MSIP was offered by Kirkland & Ellis.
