NextDC Lifts Contracted Capacity, Expands Debt Facilities by $2.3B
Synopsis
The company boosted pro forma contract utilisation to 740MW while increasing its total senior debt pool to $8.7 billion.
NextDC's $2.3 billion debt facilities have strengthened the company's financing position as new customer agreements continue to expand its contracted data centre capacity.
The ASX-listed operator has raised the total amount of senior debt facilities available to A$8.7 billion, and recently inked contracts raised pro forma contracted utilisation by 73 megawatts (MW) to 740MW, with the forward order book now at 565MW.
The new debt facility was closed in July for the purpose of providing funds to support the construction of NextDC's development portfolio, along with the fit-out of customer-space and provision of infrastructure.
The newly contracted capacity will gradually become revenue and underlying EBITDA as customer deployments begin, the company said.
Funding Matches Expanding Customer Commitments
This recent financing comes on the heels of robust customer activity. Earlier this year, NextDC announced a record jump in contracted utilisation of 667MW, which was associated with big customer contracts for AI and cloud-based infrastructure.
Subsequent contracts have since pushed that up to 740MW, which equates to 11% more than the previous level.
The company also has a pro forma forward order book of 565MW, which includes customer contracted capacity that is not yet in operation.
Data Centre Investment Continues to Accelerate
Business investments in AI computing, cloud services and digital infrastructure have driven a rise in demand for large-scale data centres. The International Energy Agency (IEA) predicts that global electricity usage by data centres will be more than doubled by 2030, with AI being among the key drivers of the increased demand.
According to the report, the United States consumes more electricity for data centres than any other country in the world, China is next and Europe, as well as a few Asia-Pacific markets, are still driving capacity growth.
Domestic operators and cloud service providers from around the world have also made sustained investments in Australia's data centres, where there is increasing demand for computing infrastructure.
Financial Position Supports Expansion
NextDC's FY2025 net revenue grew to A$350.2 million, representing a 14% rise, and its underlying EBITDA grew by 6% to A$216.7 million.
The new debt capacity gives the company more financial flexibility, to support existing projects and future developments throughout its network, the company said.
The new customer contracts and financing package not only expand the contracted revenue base for NextDC but also facilitate the delivery of new capacity across the portfolio.
Source: Capital Brief
Pooja Malik is a business journalist with over six years of experience covering startups, entrepreneurship, and emerging trends. She has previously worked with leading media platforms such as YourStory Media and BW BusinessWorld, where she reported on business, policy, and market developments. Currently, she serves as Editor at The Inspirepreneur Magazine, where she writes and edits stories across business, lifestyle, and travel, with a focus on clarity, accuracy, and reader relevance.
