King Street-Backed Colovore Closes $925 Million Facility With Blackstone for AI Data Center Platform

Colovore, a leading owner and operator of ultra-dense, liquid-cooled data centers purpose-built for enterprise AI infrastructure in the metro edge, today announced the closing of a $925 million debt facility provided by Blackstone funds. This milestone marks a successful year for Colovore since affiliates of King Street Capital Management (“King Street”) acquired the company to accelerate its development of new AI data centers across metro edge markets.

“This Blackstone financing, along with the continued support of King Street, positions us well to continue scaling our footprint through the development of new liquid-cooled data centers, starting in Reno, Chicago and Austin,” said Sean Holznecht, President and Co-Founder of Colovore. “As AI infrastructure shifts rapidly toward highly distributed, inference-driven workloads, we remain focused on building the national backbone for this next phase—scalable, liquid-cooled data center platforms purpose-built for edge and core inference.”

Brian Higgins, Founder and Managing Partner of King Street, added “With more than a decade of experience in liquid cooling, Colovore is uniquely positioned to provide infrastructure to meet the soaring demand for high-density, AI-optimized data centers. We look forward to further leveraging King Street’s real estate and credit capabilities to support their rapid expansion.”

Unlike legacy data center architectures, Colovore’s liquid-cooled facilities are designed from the ground up to support the intense demands of modern AI chips, offering market leading per cabinet cooling densities, smaller footprints, and improved efficiency. With flexible power and cooling configurations, Colovore supports everything from traditional enterprise hardware to the most advanced liquid-cooled AI accelerators. Colovore earned the distinction of being the world’s first NVIDIA DGX-certified data center and supports a diverse range of customers from large enterprises to leading GenAI companies.