Data center operator Switch launches $2 billion private financing, a16z leads the investment

According to Bloomberg, data center operator Switch has officially launched a $2 billion private financing round led by a16z. Sources familiar with the matter revealed that Switch's enterprise valuation (including debt) following this financing could approach $50 billion, with an equity value of approximately $19 billion (excluding new investment). a16z is set to invest approximately $400 million. Additionally, Goldman Sachs Group and JPMorgan Chase are assisting in facilitating this financing round, which may prepare Switch for an initial public offering (IPO) as early as next year. Relevant negotiations are currently ongoing, and the financing size, valuation, and timing remain subject to adjustment. Headquartered in Las Vegas, Switch was founded in 2000 and currently operates data centers in Nevada, Michigan, Georgia, and Texas. Its majority equity is held by DigitalBridge, which previously privatized Switch in a transaction valued at approximately $11 billion (including debt) in 2022 alongside investors such as IFM Investors.