AirTrunk secures $1.2bn Tokyo data centre loan

Author: Joe Peck

Australian data centre operator AirTrunk has secured a ¥191.6 billion ($1.24 billion; £903 million) green loan to refinance and expand its TOK1 hyperscale data centre campus in East Tokyo, Japan.

The financing is reportedly the largest data centre loan completed in Japan to date and will support further development of the campus as demand for cloud and artificial intelligence infrastructure grows.

The loan, structured under AirTrunk’s Green Financing Framework, will refinance existing facilities and fund new development phases at the TOK1 site. The campus is designed to scale to more than 300MW of capacity.

The company also says it has recently started construction to add more than 100MW of IT load to meet near-term customer demand.

The financing was led by SMBC, MUFG, Crédit Agricole CIB, and Société Générale as global coordinators. A total of 12 banks participated as mandated lead arrangers and bookrunners.

Expansion of hyperscale infrastructure in Japan

AirTrunk says the financing forms part of its wider investment in Japan’s digital infrastructure. Most notably, the operator recently announced OSK2, its second hyperscale data centre in Osaka, alongside the establishment of a new headquarters in Japan.

At full build-out, AirTrunk’s four campuses in Japan – TOK1, TOK2, OSK1, and OSK2 – are expected to deliver around 530MW of capacity to support cloud and AI workloads.

Robin Khuda, founder and CEO of AirTrunk, comments, “Japan is one of the world’s most important cloud and AI markets, and we’re committed to building the digital infrastructure that enables its long-term growth.

“AirTrunk has been investing deeply in Japan for this reason: to build the hyperscale platform that will underpin the country’s digital future and connect it to the broader region.

“This landmark financing enables us to accelerate the expansion of TOK1 and continue delivering the capacity our customers need today, while preparing Japan for the extraordinary compute demands ahead.”

Masato Hori, Associate Vice President Treasury Japan at AirTrunk, adds, “This is the largest data centre financing ever completed in Japan and a testament to the deep collaboration between AirTrunk and our banking partners. We’re especially grateful for the strong support from Japan’s leading financial institutions including SMBC, MUFG, Chiba Bank and Mizuho Bank.

“The structure of the facility reflects our commitment to transparency, sustainability, and innovation in capital markets, and further strengthens AirTrunk’s financing platform across the region.”

The financing also includes margin incentives that will be directed to the AirTrunk Social Impact Fund, supporting community initiatives in Japan including STEM education, digital inclusion, biodiversity, and disaster relief.

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