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BCLP Partner Mark Richards was quoted May 26 by Data Center Dynamics on funding sustainable bonds or loans that span the spectrum, including traditional infrastructure-focused funds, as well as more ESG-focused investors and the ESG desks of larger investment companies. They open up a potentially new selection of ESG-focused investors that previously may not have considered funding digital infrastructure. Mark noted that private equity infrastructure companies are very sophisticated in their approach to ESG and these types of funding mechanisms. Likewise, companies such as hyperscalers are very sophisticated in how they raise capital. Mark further noted that SLLs (sustainability linked loans) may make the most sense for companies looking for long-term stable financing platforms. “You've got to a point where you're looking at a much longer-term and you're looking to also lock in some good financing,” he said. “These ESG financing packages benefit from much longer strategic perspectives in terms of compliance with the data collection and other requirements.”

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