Switch Secures Landmark $2.6 Billion Syndicated Letter of Credit Facility

Switch, the premier provider of AI, cloud and enterprise data center infrastructure, today announced it has secured a $2.6 billion syndicated performance letter of credit (LC) facility, the first of its kind in the data center industry. The facility expands Switch's ability to procure power at scale and supports the development of new transmission and generation resources across its growing portfolio of gigawatt-scale campuses.

The standalone performance LC facility, which is separate from Switch's existing revolving credit and borrowing base facilities, backs obligations tied to new transmission and generation resources. Syndicating a standalone facility across multiple financial institutions enables Switch to access greater credit capacity at lower cost, while providing increased execution certainty to utilities and customers in power-constrained markets.

Switch operates two gigawatt-scale data center campuses in Nevada and even with that sizable footprint, power rates for Nevada residents declined year-over-year, defying broader nationwide increases in electricity costs.

The syndicated performance LC facility will be used to:

• Advance power procurement efforts
• Provide credit backing for new transmission and generation projects
• Enable timely execution of large-scale campus buildouts
• Support long-term cost management and pricing stability

"This facility represents a significant advancement in how digital infrastructure companies secure power at scale," said Switch's Chief Investment Officer, Jesse Burros. "Energy investments increasingly require credit support, and this broadly syndicated solution will lower our costs and streamline our ability to commit to large-scale development projects."

Switch has now raised over $24 billion in financing since 2024 and has structured its balance sheet with investment-grade rated instruments on stabilized assets, along with over $10 billion of revolving capital commitments to fund new development.

Switch is building on decades of leadership and innovation in how the company approaches energy with this new financial solution.

"As data center industry growth drives demand for new transmission and generation in the U.S., developers and operators are seeking more efficient, lower-cost capital solutions," said Jon Edwards, EVP and Head of Capital Markets at Switch. "Given the strong demand for this type of facility, we expect to upsize it as we continue to grow."

"AI infrastructure requires reliable, around-the-clock power at a scale and speed that utility development timelines often cannot match on their own," said Alise Porto, Switch's SVP of Power and Sustainability. "To facilitate this growth, we actively partner with utilities by providing financial certainty to help expand energy infrastructure while also protecting local ratepayers."

The performance LC facility was arranged with a syndicate of leading financial institutions. BBVA and Natixis Corporate & Investment Banking (Natixis CIB) served as structuring banks for the facility, initial coordinating lead arrangers and joint bookrunners. BNP Paribas, Citibank N.A. and Societe Generale acted as coordinating lead arrangers. CIBC, Rabobank, RBC, Scotiabank and SMBC acted as joint lead arrangers and Standard Chartered acted as mandated lead arranger. Natixis CIB will also serve as administrative agent.

Milbank LLP acted as legal counsel to Switch, and Paul Hastings acted as lenders' counsel