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ING puts $500 million data center loan portfolio up for auction, Bloomberg reports

Dutch bank ING is offering about a dozen data center loans totaling roughly $500 million in a rare auction that includes debt linked to the OpenAI, SoftBank, and Oracle Stargate project.

Exterior view of an ING office building with the bank's logo displayed on the facade
Image: @business

Dutch bank ING is seeking to sell a roughly $500 million portfolio of data center loans all at once, Bloomberg reported, citing people familiar with the matter. The rare auction comes shortly after a Democratic sweep in the U.S. midterm elections raised doubts across the industry about the future of several data center projects.[2][3][4]

The portfolio comprises about a dozen loans being sold through a bids-wanted-in-competition process. Offers are due Nov. 19 and must be at least $10 million in size. The assets up for bid include debt tied to operators Vantage Data Centers and CyrusOne, as well as a $25 million slice financing a massive facility in New Mexico that is part of the Stargate joint venture between OpenAI, SoftBank Group, and Oracle.[1][3]

At the New Mexico Stargate site, Oracle has already issued the developer a notice citing force majeure. Bloomberg noted that the bulk sale reflects broader Wall Street skepticism regarding the artificial intelligence infrastructure buildout, as investors increasingly question whether projected revenue will justify high capital spending.[1][3]

Key facts

  • Dutch bank ING has put a portfolio of about $500 million in data center loans up for auction all at once.
  • The auction involves about a dozen loans conducted through a bids-wanted-in-competition process.
  • Bids for the portfolio are due on Nov. 19 and require a minimum size of $10 million.
  • The debt on sale includes loans tied to operators Vantage Data Centers and CyrusOne.
  • The package includes a $25 million loan portion backing a New Mexico site for the Stargate project backed by OpenAI, SoftBank Group, and Oracle.
  • Oracle issued a force majeure notice to the developer of the New Mexico Stargate site.
  • The sale follows a Democratic sweep in the U.S. midterm elections that prompted investor doubts about data center and AI spending.

Sources · 3 sources

  1. UW

    unusual_whales@unusual_whalesPost on X ·

    BREAKING: A mystery seller is trying to dump about $500 million in data center loans all at once, per Bloomberg, days after the midterms raised doubts about many projects. The anonymous seller is auctioning a dozen loans, including a $25 million piece of financing for a huge Stargate site in New Mexico, the joint project of OpenAI, SoftBank and Oracle. Oracle has already sent that site’s developer a force majeure notice, a legal claim that events beyond its control may excuse it from its obligations.

    Open source
  2. BL

    Bloomberg@businessPost on X ·

    Dutch bank ING is putting up for sale a roughly $500 million portfolio of data center loans all at once, according to people familiar with the matter. The rare auction comes just days after a Democratic sweep of the US midterm elections raised doubts about the future of many of the projects. https://t.co/bgoaqcsqrQ 📷: Lina Selg/Bloomberg

    Open source
  3. EZ

    Ed Zitron@edzitronPost on X ·

    A mystery seller, per Bloomberg, is trying to dump $500m in data center loans, including ones being CyrusOne (Google), Vantage Data Centers and OpenAI and Oracle’s Stargate: New Mexico https://t.co/SJ9md6gP7J

    Open source
  4. BL

    Bloomberg@businessPost on X ·

    A roughly $500 million portfolio of data center loans has been put up for sale all at once, in a rare auction that comes just days after a Democratic sweep raised doubts about the future of many of the projects https://t.co/Z8iMxhRwZw

    Open source