Abu Dhabi’s Mubadala Investment Company revealed that it invested in liquid cooling company CoolIT earlier this year.
The company invested in the Canada-based company alongside KKR in May 2023, with the latter acquiring a majority of the cooling business in the process. Financial terms of the acquisition were not provided.
CoolIT operates across North America, China, and Taiwan, creating liquid cooling solutions for data centers and desktop computers that are designed to reduce operating costs and carbon emissions.
“With the data center industry expected to consume eight percent of the world’s energy by 2030, liquid cooling plays a vital role in reducing the digital economy’s emissions footprint,” said Abdulla Shadid, Head of the Impact Investing team at Mubadala. [Editor's note: That figure is based on Huawei-backed research from 2015, extrapolating on the sector's power consumption if no efficiency improvements are made.]
“We are pleased to invest alongside KKR to help CoolIT scale its best-in-class cooling solutions and better serve its global customer base while delivering a positive climate impact."
CoolIT previously raised around $10 million over four funding rounds. Past investors include the Business Development Bank of Canada, nVent, Kline Hill Partners, Vistara Capital Partners, Inovia Partners, AVAC Group, and Chart Venture Partners.
Mubadala’s Impact Investing team focuses on businesses that provide solutions to critical environments or social challenges, with its strategy meeting the objectives of the UN’s Sustainable Development Goals. The company has invested in Internet service provider Brightspeed, which it gave $500m in May 2023, Princeton Digital Group, Russian colocation firm IXcellerate, gas-powered data center company Crusoe, and was previously an investor in Cologix before exiting in January 2022.
