The company announced on Tuesday that it had secured €600 million ($703.5 million) in debt financing from Deutsche Bank, channelled through the bank’s Private Credit and Infrastructure unit. The fresh capital will fast-track the construction of large-scale facilities in Falun and Borlänge, both located north of Stockholm, designed specifically to handle AI workloads and other compute-intensive applications.
Chief Executive Peter Michelson, a former Ericsson executive, described the new financing as providing the company with “a two-year runway” for its current plans. However, he hinted that the pace of demand for AI infrastructure could necessitate even greater expansion.
“If we were to stop building tomorrow, we would be a highly profitable company,” Michelson told Reuters. “But we obviously have ambitions for much more than that. Given where the market is heading, I wouldn’t be surprised to see further acceleration, which would also mean more capital needed.”
The announcement underscores the rapid acceleration in data centre investment worldwide, as companies scramble to build infrastructure capable of powering increasingly sophisticated AI models. These systems require vast computing capacity and rely heavily on energy-hungry chips such as Nvidia’s latest processors.
EcoDataCenter’s funding comes just months after its owner, Swedish fund manager Areim, secured €450 million for the company. Together, EcoDataCenter and Areim have raised a total of €1.8 billion since 2023 to strengthen their position in Europe’s data centre race.
Sweden has become a hotspot for such projects, attracting investments from global tech giants including Microsoft, Meta, and Alphabet. Investors are drawn by the country’s reliable power grid, strong connectivity, and commitment to sustainable energy.
Since opening its first facility in 2019, EcoDataCenter has signed on high-profile clients including German AI-powered translation company DeepL and carmaker BMW. In 2023, it partnered with cloud provider CoreWeave to build one of Europe’s largest AI training clusters. The company is also hosting a Nvidia Blackwell SuperPod for DeepL, a sought-after platform for training and running large-scale AI models.
With the new financing in place, EcoDataCenter appears poised to expand its footprint even further, cementing Sweden’s role as a critical hub in Europe’s fast-growing AI infrastructure ecosystem.