Investment firm EQT’s Infrastructure VI fund has invested in EdgeConneX to further move the data center company into hyperscale data center development.

EQT last week announced that the EQT Infrastructure VI fund is partnering with EdgeConneX to build and operate purpose-built data centers for hyperscale customers around the world, expanding the company into new markets.

Terms of the investment weren't shared, but EQT said that the Infrastructure VI fund is expected to be 30-35 percent invested after this transaction.

– EdgeConneX

While details weren’t provided, EQT said this investment by EQT Infrastructure VI will see EdgeConneX build out “hundreds of megawatts of data center capacity” to support hyperscale customers.

Jan Vesely, partner within EQT Infrastructure's Advisory team, said: "With the support of EQT Infrastructure's global presence, industry expertise, and dedication to sustainable growth, EdgeConneX together with this new initiative is well-positioned to be a leading provider of critical digital infrastructure worldwide. EdgeConneX is a pioneering data center solutions provider, and its team has the proven track record and deep experience necessary to help lead this expansion and meet hyperscale customers' needs around the world."

EQT is already a majority shareholder in EdgeConneX. The investment firm’s Infrastructure IV fund acquired the colocation provider from an investor group led by Providence Equity Partners in August 2020 for an undisclosed fee, though previous rumors of a sale suggested a potential $2.5 billion price tag. EQT’s Infrastructure’s Infrastructure V invested in EdgeConneX the following year.

EdgeConneX CEO Randy Brouckman, added: "We have always taken a customer-centric approach, focused on giving our customers the capacity they need, in the right configuration, in the right markets, at the right time. Amid the rapid proliferation of data and compute, data centers are the critical infrastructure housing and connecting the technologies, the companies, and the end-users, thus enabling the future growth of the world's digital economies. With the support of EQT's deep local presence in critical markets around the world, EdgeConneX has expanded rapidly, and we're excited about the opportunities this new partnership with EQT will unlock."

Founded in 2009, EdgeConneX operates more than 40 data centers globally and has dozens more in development. The company was initially focused on smaller-scale data centers in the US, but has gradually expanded its scope and geography, moving into build-to-suit and hyperscale facilities in South America, Europe, and APAC.

After initially building and buying dozens of small facilities, the company has gradually been developing larger facilities – its most recently announced developments include a 200MW campus in Cyberjaya in Malaysia and a 1 million sq ft campus in Mesa, Arizona.