Switch, a digital infrastructure company focused on large-scale AI data center campuses, has expanded its available credit to more than $9.5 billion through increases to two separate facilities.
The company's Corporate Revolving Credit Facility now surpasses $6 billion, while a Syndicated Uncommitted Performance Letter of Credit Facility has been expanded to $3.5 billion. The letter of credit facility builds on a prior $2.6 billion instrument that Switch described as an industry first.
The revolving credit facility was led by TD Securities and Wells Fargo. BBVA and Natixis Corporate & Investment Banking led the expanded letter of credit facility. Legal counsel on both transactions was provided by Milbank LLP and Paul Hastings.
The letter of credit structure is designed specifically to support power acquisition. Securing grid capacity has become a significant constraint for data center operators as demand for compute-intensive AI workloads has increased.
Performance letters of credit function as financial guarantees to utility partners and other counterparties involved in power transmission and generation agreements, allowing developers to commit to long-term infrastructure projects that require extended timelines to complete.
Madonna Park, Chief Financial Officer at Switch, described the intent behind the expanded facilities:
"This augmented financing capacity grants us enhanced agility to deploy capital into our committed development projects and meet escalating customer needs. We remain committed to delivering mission-critical infrastructure with the unwavering reliability and operational discipline our clients depend on."
Switch said the expanded credit capacity is intended to support its existing development pipeline of AI campus projects, though the company did not disclose specific project locations, capacity figures or customer names in connection with the announcement.
