Blackstone Bets Big on AI Data Centers with New IPO

Blackstone Inc. has initiated the process for an initial public offering (IPO) of a new entity designed to acquire data centers, a move directly linked to the burgeoning artificial intelligence sector. The newly formed Blackstone Digital Infrastructure Trust Inc. will concentrate on purchasing existing, leased data center properties. These targeted acquisitions are expected to range in value from $250 million to $1.5 billion and are leased to investment-grade hyperscalers.

The trust anticipates yielding between 5.75% and 7% annually, with automatic rent escalations of 2% to 3% each year. Blackstone aims to secure around $2 billion through this IPO, with formal marketing potentially commencing later this month. This strategic expansion aligns with the firm's ambition to become a leading global investor in AI infrastructure and broaden its reach to individual investors beyond traditional pension funds and endowments.