Home / Business and Economy / BlackRock Funds Meta's $12B Texas Data Center
BlackRock Funds Meta's $12B Texas Data Center
21 Jul
Summary
- BlackRock is issuing over $12 billion in bonds for Meta's Texas data center.
- The El Paso campus will support 1 gigawatt of capacity by 2028.
- This financing follows a similar debt structure used by Meta in Louisiana.
BlackRock is spearheading a bond issuance exceeding $12 billion to finance Meta Platforms' data center campus in El Paso, Texas. This financial move involves a holding company where BlackRock owns 80% and Meta holds 20%.
The offering, managed by JPMorgan Chase and Morgan Stanley, is slated for pricing early next week. The El Paso facility is projected to reach 1 gigawatt of capacity by 2028, creating over 300 local jobs.
This financing strategy mirrors Meta's approach in Louisiana, where a joint venture kept similar liabilities off its balance sheet. BlackRock was a substantial investor in Meta's prior $27 billion debt deal for the Hyperion project.
Meta's AI infrastructure investments continue to grow, with the Hyperion project now expected to reach 5 gigawatts and cost over $50 billion. Separately, Meta is also leasing a data center in Pennsylvania backed by BlackRock's Aligned Data Centers.
The El Paso financing contributes to a wave of debt issuance driven by the anticipated $5.5 trillion investment in AI through 2030.
