The Canada Pension Plan Investment Board (CPP Investments), an organization managing the reserve funds of the Canada Pension Plan, and digital infrastructure firm Equinix have completed a US$ 4 billion acquisition of atNorth, a Nordic data center developer with eight operational data centers and several others in development.
The acquisition builds on CPP Investments’ ongoing data center investments and highlights the importance of the Nordic region as a hub for AI-ready digital infrastructure. As outlined in a press release, atNorth will continue to operate independently with the backing of its shareholders to accelerate the development of its pipeline while expanding capacity across the Nordics.
“The completion of this investment gives CPP Investments a controlling stake in one of the Nordics’ leading hyperscale data center platforms, and marks an important milestone in our partnership with Equinix,” said Maximilian Biagosch, CPP Investments Senior Managing Director & Global Head of Real Assets. “With its strong portfolio of development projects, access to renewable power and differentiated capabilities for AI and high-performance computing workloads, atNorth is well positioned to support the region’s next phase of growth.”
“The acquisition will strengthen our ability to support customers expanding digital and AI deployments, while increasing capacity in a region widely recognised for its advanced technology ecosystem and sustainable energy profile,” said Regina Dahlström, Equinix Nordics Managing Director. “As AI adoption accelerates, organisations need infrastructure that brings together data, clouds, networks and inference services. Expanding our footprint helps create the interconnected hubs that enable data to move efficiently and securely across ecosystems.”
Since w.media reported on the acquisition announcement earlier this year, the structure of the deal has changed somewhat. Partners Group, acting on behalf of its clients, elected to reinvest in atNorth and acquire a 10 percent stake in the firm for US$ 260 million. That means CPP Investments holds a 51 percent controlling stake, having committed US$ 1.3 billion, while Equinix committed US$ 895 million for a 34 percent stake.
The transaction is supported by a US$ 4.1 billion debt financing package underwritten by a group of European and Canadian lenders. The package will fund the acquisition as well as atNorth’s growth and expansion.
“Since the signing announcement earlier this year, atNorth has continued to build strong momentum, securing new hyperscale contracts and expanding our development pipeline, including a new site in Norway,” said Eyjólfur Magnús Kristinsson, atNorth Chief Executive Officer. “We enter this next phase from a position of strength, with a clear strategy to continue to operate independently under the atNorth brand, while working closely with CPP Investments and Equinix. The backing of our new owners, enhances our ability to scale at pace, expand capacity across the Nordics, and deepen our relationships with global enterprise and hyperscale customers.”
The Nordics is proving to be a prime hub for the data center market with its low-cost renewable energy, low ambient temperatures, and growing demand for AI-ready infrastructure. To meet that demand, the data center construction market is set to triple in value over the next few years. Arizton Advisory and Intelligence reports that the Nordic data center construction market is set to grow from a value of US$ 4.12 billion in 2025 to US$ 13.81 billion by 2031 as the need for hyperscale data centers across the Nordic region increases.