Stack Infrastructure’s Data Center Funding Now Exceeds $1 Billion

Wholesale data center colocation startup Stack Infrastructure gains $225 million in new securitized notes Friday with plans to continue expansion across the U.S.


Stack Infrastructure is one of the fastest-growing wholesale data center colocation and hyperscale providers in the world. With the issuance of $225 million in new securitized notes unveiled Friday, the Denver-based company has now raised well over $1 billion as it looks to expand its data center footprint across the U.S.

“The terrific success of this financing is a testament to the quality of the platform that we’re continuing to build at Stack,” said Stack CFO Heather Paduck in a statement. “The broad and deep investor demand we experienced is gratifying and validates our leadership position in the market as we continue to underpin our overarching strategy of forging strong relationships with our clients to support their growth needs.”

Founded in 2019, the company was formed by investor IPI Data Center Partners after it combined assets acquired from T5 Data Centers and Infomart Data Centers. Stack generated a whopping $850 million of capital financing this year through securitized notes from investors with plans to build more data centers focusing on hyperscale data center operators like Amazon, Apple, Google and Microsoft.

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This year, Stack has made moves to support client expansion in Chicago, Portland and New Albany, Ohio, with plans for further data center development.

Stack currently operates seven data centers in Atlanta; Chicago; Dallas; New Albany; northern Virginia; Portland; and San Jose, Calif. The company owns approximately 1.5 million square feet of aggregate data center space across the county.

Stack’s data center team includes former Digital Realty executives Donough Roche, senior vice president of engineering and client services, and Chief Revenue Officer Ty Miller.

Stack’s main offerings include Hyper Stack for hyperscale campuses and build-to-suit data centers; Ready Stack for wholesale colocation and private data suites; and Power Stack for powered shell options. The company says it provides existing and flexible expansion capacity, while also offering the scale and geographic reach to growing enterprises and hyperscale companies.

The data center market is on fire this year as cloud providers Amazon Web Services, Microsoft, Oracle and Google invest billions each quarter in constructing new or expanding on existing data centers. The data center M&A market is also on pace to become a record year with 52 data center-oriented acquisitions closed in the first half of 2019 alone.