Data center investors like CPP are playing catch up
The Canadian pension’s $15bn joint venture with Equinix represents a significant and necessary upsizing of its investments in the sector.
Expert analysis by Evelyn Lee
This week, California-based data center giant Equinix announced the formation of a $15 billion joint venture with Singaporean sovereign wealth fund GIC and the Canada Pension Plan Investment Board to build hyperscale data centers in the US. GIC and CPP will each hold a 37.5 percent equity interest in the JV, while Equinix will hold 25 percent.
GIC was one of the original JV partners in Equinix’s global hyperscale data center platform, called xScale, which to date has committed investments of more than $8 billion and is expected to have greater than 725 megawatts of power capacity across more than 35 facilities when fully built out. The sovereign wealth fund...