Equinix, a global data center and digital infrastructure leader, has announced a €1.15 billion ($1.21 billion) green bond issuance. The funds will support renewable energy projects, decarbonization initiatives, and other sustainable infrastructure developments.

The issuance comprises €650 million in 3.25% senior green notes maturing in 2031 and €500 million in 3.625% senior green notes maturing in 2034. This move follows a $750 million green bond offering by Equinix in September 2024. With a total issuance of $6.9 billion, Equinix is now among the top five green bond issuers in the U.S.

The funds align with Equinix’s updated Green Finance Framework, which outlines eligible projects for green bond proceeds. These include investments in green buildings, renewable energy, energy efficiency, resource conservation, and climate adaptation solutions.

Katrina Rymill, SVP Corporate Finance & Sustainability at Equinix, stated, “We view green finance as an integral part of our sustainability strategy at Equinix. Our green bonds demonstrate Equinix’s continued commitment to design, build and deliver the most reliable, secure, and sustainable data center and digital infrastructure possible in order to benefit our customers, our investors, and the communities in which we operate.”

The issuance comes amid rising energy demands from AI-driven growth in data centers. Tech giants like Microsoft, Google, and Amazon have emphasized the challenge of balancing increasing energy requirements with decarbonization efforts. Data centers consumed 460 TWh in 2022, with consumption expected to potentially double by 2026, according to the International Energy Agency (IEA).

Equinix has committed to reducing absolute Scopes 1 and 2 greenhouse gas emissions by 50%, Scope 3 emissions from fuel and energy-related activities by 50%, and achieving 100% renewable energy by 2030.