Swedish data center firm EcoDataCenter has raised €170 million ($184.3m) in debt financing.

The consortium of banks providing the facility comprises KfW IPEX and Kommunalkredit as global coordinators and mandated lead arrangers, and Investec and NIBC as mandated lead arrangers.

The money will be deployed to “enhance the capabilities” of EcoDataCenter's campus in Falun, EcoDataCenter 1.

"This funding is a critical component of our growth strategy and a testament to the exciting journey we are on with the support of significant partners from global capital markets,” said Peter Michelson, CEO at EcoDataCenter.

EcoDataCenter was formed as a joint venture between local energy company Falu Energi & Vatten and data center operator EcoDC AB. Nordic real estate developer Areim took a majority stake in the firm via the Areim Fund III for around SEK 200 million ($22m) in 2018 and merged it with Swedish operator Fortlax in 2019.

Announced in 2015, the Falun campus launched in 2018 and currently consists of one building. The site will offer up to 80MW and 35,000 sqm (377,000 sq ft) at full build-out. Plans for a second, 15MW, building a the site were announced last year.

The company currently operates five data centers across three sites in Falun, Piteå, and Stockholm. Earlier this year EcoDataCenter announced plans for a new 150MW campus, known as EcoDataCenter 2, in Östersund, Sweden. The campus will be constructed in phases, with the first 20MW completed in 2026.

LionTree served as financial adviser to EcoDataCenter and White and Case LLP acted as legal adviser.