Meta is finalizing a record $30 billion financing deal with Blue Owl Capital to construct its Hyperion AI data center in rural Louisiana, set to be completed by 2029.
Meta is on the verge of finalizing a historic $30 billion financing deal for its Hyperion data center in Richland Parish, Louisiana, according to a report by Bloomberg. This agreement marks the largest private capital deal on record.
The ownership of the Hyperion data center will be divided between Meta and Blue Owl Capital, an alternative asset manager, with Meta retaining only 20% of the ownership stake. Morgan Stanley has played a pivotal role in arranging over $27 billion in debt and approximately $2.5 billion in equity through a special purpose vehicle (SPV) to finance the construction of the facility.
It is important to note that Meta is not directly borrowing the capital. Instead, the financing entity will take on the debt under the SPV structure. Meta will serve as the developer, operator, and tenant of the data center, which is expected to be completed by 2029. Earlier reports from Reuters indicated that Meta had engaged U.S. bond company PIMCO and Blue Owl Capital for $29 billion in financing for its data centers.
On October 16, the involved parties took the final step to price the bonds, with PIMCO acting as the anchor lender. A few other investors are also receiving allocations of the debt, which is set to mature in 2049.
Previously, President Donald Trump announced that Meta would invest $50 billion in the Hyperion data center project. During the announcement, he displayed a graphic—reportedly provided by Mark Zuckerberg—showing the proposed data center superimposed over Manhattan to emphasize its immense scale.
A Louisiana state regulator has also approved Meta’s agreement with Entergy for the power supply to the data center. Three large power plants, expected to come online in 2028 and 2029, will generate 2.25 gigawatts of electricity to support the facility. At full capacity, the AI data center could consume up to five gigawatts as it expands.
In July, Meta CEO Mark Zuckerberg revealed that the company is constructing several large AI compute clusters, each with an energy footprint comparable to that of a small city. One of these facilities, known as Prometheus, will be Meta’s first multi-gigawatt data center, while Hyperion is designed to scale up to five gigawatts over time. These investments are aimed at advancing the development of “superintelligent AI systems.”
Additionally, Meta announced on Wednesday that it would invest $1.5 billion in a new data center in El Paso, Texas. This facility, which will be Meta’s third in Texas, is anticipated to become operational by 2028.
According to Bloomberg, the Hyperion data center represents a significant step in Meta’s ongoing commitment to expanding its infrastructure to support advanced AI technologies.
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