Switch has raised $659 million through its fourth asset-backed securities (ABS) issuance, bringing its total ABS financing to approximately $3.5 billion — the largest of any data center issuer since 2024. The new transaction includes Class A-2 notes rated AAA, AA (low), and A (low), and Class B notes rated BBB (low) by DBRS Morningstar. All issuances qualify as secured green bonds, reinforcing Switch’s commitment to sustainable data center development.
Proceeds from this securitization will fund new construction across Switch’s five active campuses serving hyperscale, AI, and enterprise clients. This marks the company’s first ABS issue dedicated entirely to new growth initiatives, following its July 2025 announcement that it had retired $6.5 billion in bank debt from its 2022 take-private. Switch’s ABS platform now includes 10 data centers across four campuses, generating over 70% of revenue from investment-grade tenants.
Switch achieved the first AAA-rated tranche in non-hyperscale data center ABS, signaling strong investor confidence in its financial structure. The transaction also highlights Switch’s ability to efficiently recycle capital while maintaining leadership in the green finance segment of the data center industry.
• Fourth ABS issuance totaling $659 million, bringing total ABS volume to $3.5 billion
• All Switch ABS issuances qualify as secured green bonds
• Platform now spans 10 data centers across 4 U.S. campuses
• Over 70% of revenue from investment-grade tenants
• First AAA-rated tranche in non-hyperscale data center ABS
• $6.5 billion of prior bank debt retired as of July 2025
• Advisors: Wells Fargo, RBC, Morgan Stanley, TD Securities, Truist
• Legal counsel: Kirkland & Ellis (Switch); Latham & Watkins (underwriters)
“The success of this transaction, and the overall growth of our platform, clearly demonstrate that our formula of leading-edge technology combined with exascale campus deployments in Tier 1 markets continues to resonate with customers and investors alike,” said Madonna Park, Chief Financial Officer of Switch.
🌐 Analysis: Switch’s fourth ABS issuance underscores a growing appetite for data center-backed securities as institutional investors seek stable, green-qualified assets tied to AI and cloud infrastructure growth. The company’s introduction of a AAA-rated tranche — rare in non-hyperscale data center finance — positions it ahead of peers such as Digital Realty and Equinix in securitization sophistication. With $6 billion of stabilized financings and a debt-free balance sheet, Switch is poised to expand its AI-ready campuses across multiple Tier-1 markets.
