Blackstone’s GIP and ACS form €2 billion data center joint venture

Investing.com -- Blackstone’s Global Infrastructure Partners (GIP) and Spanish construction company ACS have agreed to form a 50-50 joint venture to develop data centers, with an initial portfolio valued at approximately €2 billion ($2.33 billion).

The companies announced Friday that upon closing of the transaction, the joint venture will consist of ACS’s existing data-center portfolio, which includes assets under development across Europe, the United States, and Australia with a total capacity of 1.7 gigawatts.

ACS will contribute its existing portfolio to the business in exchange for about €1 billion in cash and initial earnout payments of up to €1 billion subject to achieving commercial milestones. The companies stated that an additional payment of up to €200 million might be earned from additional projects under review.

This deal represents GIP’s latest push into infrastructure needed to support artificial intelligence, an area the infrastructure investor has been focusing on recently.

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