Colovore secures $925m from Blackstone for AI data centres

Author: Carly Weller

Colovore has announced the closing of a $925 million debt facility provided by Blackstone funds. This milestone marks a successful year for Colovore since affiliates of King Street Capital Management acquired the company to accelerate its development of new AI data centres across metro edge markets.

“This Blackstone financing, along with the continued support of King Street, positions us well to continue scaling our footprint through the development of new liquid-cooled data centres, starting in Reno, Chicago and Austin,” says Sean Holznecht, President and Co-Founder of Colovore. “As AI infrastructure shifts rapidly toward highly distributed, inference-driven workloads, we remain focused on building the national backbone for this next phase- scalable, liquid-cooled data centre platforms purpose-built for edge and core inference.”

Brian Higgins, Founder and Managing Partner of King Street, adds, “With more than a decade of experience in liquid cooling, Colovore is uniquely positioned to provide infrastructure to meet the soaring demand for high-density, AI-optimised data centres. We look forward to further leveraging King Street’s real estate and credit capabilities to support their rapid expansion.”

Unlike legacy data centre architectures, Colovore’s liquid-cooled facilities are designed from the ground up to support the intense demands of modern AI chips, offering market leading per cabinet cooling densities, smaller footprints, and improved efficiency. With flexible power and cooling configurations, Colovore supports everything from traditional enterprise hardware to the most advanced liquid-cooled AI accelerators. Colovore earned the distinction of being the world’s first NVIDIA DGX-certified data centre and supports a diverse range of customers from large enterprises to leading GenAI companies.