CDC Data Centres has secured a 555MW data centre contract with a US customer, in what is described as the largest data centre deal in Australia’s history – equivalent to around 40% of the country’s total operating capacity. The long-term agreement, which has a minimum term of 10 years and can extend to a total of 30 years through renewal options, will take CDC’s total contracted capacity beyond 1GW as hyperscale demand continues to accelerate.
The capacity will be delivered across CDC campuses already under development, with deployment scheduled between FY28 and FY29.
Step-change in scale and demand
The 555MW contract marks a significant increase in the scale of data centre demand in Australasia, reflecting growing requirements from hyperscale and AI-driven workloads. “This marks another step-change in the scale of Australasian data centre demand and an important milestone in CDC’s evolution,” said Jason Boyes, CEO of Infratil, which holds a 49.7% stake in CDC.
Boyes added that the agreement highlights the region’s attractiveness for global computing infrastructure. “Today’s announcement underscores Australasia’s opportunity to attract global computing capacity, supported by regional stability, competitive build costs and access to renewable energy,” he said.
CDC founder and CEO Greg Boorer said the deal represents a major vote of confidence in both the company and the region. “The size and term of this agreement reflect the strongest vote of confidence in this region and in CDC’s differentiated offering,” he said.
Pipeline and financial impact
With the new contract, CDC’s contracted capacity is expected to exceed 1GW by FY29, with a broader development pipeline of around 2.9GW across Australia and New Zealand. The company is currently constructing 572MW of capacity, with a further 1.6GW in its longer-term pipeline.
Financially, CDC expects EBITDAF to exceed AUD 1 billion by FY28 as new capacity comes online, with annualised EBITDAF projected to reach around AUD 2 billion once the contracted 1GW is fully deployed.
Despite the scale of the contract, CDC said the agreement sits within its existing growth plans and does not require additional equity from shareholders.
Capital and build-out accelerates
To support delivery, CDC expects capital expenditure of between AUD 3.8 billion and AUD 4.2 billion in FY27, as construction activity ramps up. The company said it will fund development through a combination of existing cash, committed debt facilities, and additional debt and hybrid financing. CDC recently secured a Baa2 (stable) credit rating from Moody’s, providing access to global capital markets to support its expansion.
The deal reflects a broader shift in global data centre investment towards new regions capable of supporting large-scale deployments. CDC said the agreement reinforces Australasia’s position as a destination for “intelligence generation” and hyperscale infrastructure, supported by availability of land, power, and renewable energy. “This is another massive tick of approval for Australia as a global hub for intelligence generation,” said Boorer.