US data center operator Cologix has secured a $500 million investment from Abu Dhabi’s Mubadala Investment Company, in partnership with Stonepeak Infrastructure Partners, to aid its growth in North America.

It comes after Bloomberg reported in March that Cologix had been working with an adviser to gauge investor interest.

Additional funding

The half a billion dollar investment from Mubadala, which is subject to the usual regulatory approvals, will be used to “provide significant primary capital investment for Cologix to continue to meet demand for hyperscale edge, super-efficient, low cost data centers that provide access to latency consistent, robust interconnection hubs throughout," the companies said.

Investor Stonepeak Infrastructure Partners will remain the majority shareholder in Cologix, after acquiring a majority stake in the company for a $500m incremental investment.

“As a global strategic investor with deep expertise in the data center market, Mubadala will add real value to the business,” Brian McMullen, senior MD at Stonepeak Infrastructure Partners, said.

“We’re pleased to have entered into this partnership which will see significant growth capital injected into the company and enable Cologix to reach new milestones in its growth trajectory."

Mounir Barakat, executive director of Mubadala ICT, added: “In Cologix, we are investing in a company that has a clear strategy to build upon its existing market leading position, and one that is led by an excellent management team with which to implement that strategy."

Since Cologix was founded in 2010 it has completed 11 acquisitions including a lease at the Dallas Infomart data center from NaviSite, DataCenter.BZ, Carrier Connex, the Minnesota Gateway, Standard Connections, Telehouse Centre Canada, Canix Colo, and Colo-D in Montreal.

The fresh funding appears to be a change in strategy from 2016, when the company was reportedly looking to sell the business entirely, for around $1.25 billion.