AdaniConneX, a joint venture between Adani Enterprises and EdgeConneX, is raising $1.4 billion to fund the rollout of data centers across India. The joint venture secured a green loan from eight international banks, including MUFG, Sumitomo Mitsui Banking, and ING Bank. With access to over $1.6 billion in financing, AdaniConneX aims to develop data centers with up to 1 gigawatt of capacity across the Indian subcontinent.
The CEO of AdaniConneX, Jeyakumar Janakaraj, expressed satisfaction with the successful exercise, highlighting the collective effort to establish sustainable and robust digital infrastructure. The joint venture was formed at the height of the Covid-19 pandemic in 2021, which increased demand for e-commerce and cloud-based services as countries implemented lockdowns to curb the virus spread. AdaniConneX opened its first 17 MW data center facility in Chennai in November 2022, with plans to scale up to 33 MW.
To meet the booming demand for cloud computing capacity, AdaniConneX is building data centers in cities like Navi Mumbai, Noida, Vizag, and Hyderabad. Adani, the chairman of the diversified Adani Group, is the second richest person in India with a net worth of $68 billion as per Forbes Asia’s list of India’s 100 Richest people published last October. His business interests include ports, airports, power generation, and renewable energy.
The joint venture’s focus on developing data centers in India is driven by the increasing digitalization of the economy and society, as well as the growing reliance on cloud services for business and personal use. AdaniConneX aims to establish new industry benchmarks in digital infrastructure, contributing to the country’s digital transformation and economic growth. With the financial support from international banks, the joint venture is well-positioned to meet the evolving needs of the digital economy in India.
AdaniConneX’s expansion plans signal a significant investment in India’s data center infrastructure, which is crucial for supporting the country’s digital ambitions and enhancing its competitiveness in the global digital economy. By building data centers with significant capacity, the joint venture is poised to play a key role in meeting the increasing demand for cloud services and data storage in India. As a leader in the Indian business landscape, Adani’s involvement in the venture underscores the strategic importance of digital infrastructure for the country’s economic development and future growth.
The success of AdaniConneX’s fundraising efforts reflects the confidence of international financial institutions in the joint venture’s ability to execute its expansion plans and deliver sustainable digital infrastructure in India. The partnership between Adani Enterprises and EdgeConneX brings together complementary expertise and resources to build a strong foundation for the development of data centers across the country. With a focus on innovation, sustainability, and reliability, AdaniConneX is well-positioned to make a significant impact on India’s digital infrastructure landscape and contribute to the country’s continued growth and prosperity.
