The Citi Banking, Capital Markets & Advisory Global Communications Team is out with their September 2024 Data Center Market Update summarizing major events during the month across the space. As always, the OCOLO team appreciated all the work the Citi Sector Coverage Team did to consolidate another action-packed month into a digestible format for the rest of us just trying to keep up!
As always, the report recapped the 2024 Key Data Center Themes the team is tracking:
Then the report shared 19 significant deals announced during the month in the data center space, including 13 new site announcements.
The report included a deep dive into two significant deals: 1) the September 17 announcement of the partnership between BlackRock , Global Infrastructure Partners (GIP), Microsoft and MGX to raise up to $100 billion to invest in AI data centers and energy infrastructure; and 2) the September 20 announcement of a 20-year fixed-price power purchase agreement between Constellation and Microsoft.
The below slides offer a comprehensive overview of the significance and potential long-term implications of each deal.
The report also took advantage of the September month-end to provide 2024 YTD Equity Market Barometers…
…the impact of the Fed’s September 18th 50 bps rate cut on US equity market performance and treasury yields…
…and on global equity indices.
Also in September, China took the unusual steps of both cutting its mortgage rate and allowing refinancing of existing mortgages for the first time, which caused a much-welcomed local market rally.
So, you could say that in a year full of exciting twists and turns in the global debt and equity markets and digital infrastructure dealmaking, September certainly did not disappoint!
Many thanks as always to the Citi Banking, Capital Markets & Advisory Data Center Coverage Team for another month of comprehensive insights into developments in the data center industry: Raimund Riedl, Rick Piket, Marion Miller, Frank Collier III and Caroline Burnham.
