|
Getting your Trinity Audio player ready...
|
Singapore, August 2025 — Asia Pacific & Japan hyperscale data centre specialist AirTrunk has secured a landmark S$2.25 billion (US$1.65 billion) green loan to fund the development of its newest facility, AirTrunk SGP2, in Loyang, Singapore. The transaction marks both Singapore’s largest-ever loan and largest green loan for a data centre, reinforcing the city-state’s growing stature as a global hub for sustainable finance.
đź’° Financing Structure and Strategic Partners
The green loan was backed by a consortium of 26 local and international financial institutions, with the following key roles:
- Global Coordinators & Sustainability Structuring Agents:
- Crédit Agricole CIB
- DBS Bank
- ING Bank
- Mandated Lead Arrangers & Bookrunners:
- MUFG Bank
- Natixis CIB
- Standard Chartered Bank
- United Overseas Bank
The financing is aligned with the Singapore-Asia Taxonomy for Sustainable Finance and AirTrunk’s Green Financing Framework, offering flexibility to transition into a sustainability-linked loan (SLL). Notably, all margin incentives from the loan will be directed to AirTrunk’s social impact fund, supporting community programs across Singapore.
🏗️ Project Overview: AirTrunk SGP2
- Location: Loyang, Singapore
- Capacity: Over 70 megawatts (MW)
- Purpose: Cloud and artificial intelligence workloads across Southeast Asia
- Sustainability Targets:
- BCA GreenMark Platinum certification
- Power Usage Effectiveness (PUE) of 1.20, among the lowest in Singapore
- Use of green concrete and steel to reduce embodied carbon
🗣️ Executive Commentary
Robin Khuda, Founder and CEO of AirTrunk, stated:
“This landmark transaction strengthens AirTrunk’s leadership in sustainable finance and reflects strong market confidence in our growth and sustainability strategy. We’re proud to contribute to Singapore’s momentum as a world-leading green finance hub while scaling our platform responsibly to deliver lasting social impact.”
Jasmine Zhang, Crédit Agricole CIB’s Head of Telecom Finance for Asia-Pacific, added:
“AirTrunk’s SGP2 facility sets a new benchmark for responsible infrastructure development in Asia.”
Amit Sinha, DBS Bank’s Group Head of TMT, emphasized:
“This landmark green loan represents the largest financing for a new data centre facility in Singapore to date.”
Krishna Suryanarayanan, ING Bank’s Managing Director, noted:
“This marks another significant milestone in AirTrunk’s sustainable finance journey.”
🌍 Broader Impact
The transaction highlights Singapore’s ambition to lead in climate-aligned digital infrastructure, a vision championed by the Monetary Authority of Singapore (MAS). It also sets a precedent for integrating environmental, social, and governance (ESG) principles into large-scale technology investments.
AirTrunk’s SGP2 is expected to serve as a blueprint for future-ready, low-carbon data centres across the Asia Pacific region.
Excerpts from esgnews.com
