While the deal involves a partial stake sale in existing assets (244MW across Paris, Milan and Madrid), it provides Data4 with additional financial flexibility
Arjun Infrastructure Partners has made its debut in the data centre sector by acquiring a 30% stake in a stabilised hyperscale portfolio operated by Data4, one of Europe’s fastest-growing digital infrastructure providers. The move not only broadens Data4’s shareholder base but also demonstrates growing institutional confidence in Europe’s digital and AI infrastructure.
The portfolio, referred to as “StableCo”, includes 244MW of capacity across hyperscale data centres in Paris, Madrid, and Milan – and represents Data4’s core operational assets. These sites are described as “stabilised,” meaning they are fully built, revenue-generating, and underpinned by long-term customer contracts, making them attractive to institutional investors seeking secure returns from critical infrastructure.
This transaction, supported by Arjun’s latest fund and co-investors, marks the firm’s first investment in the data centre sector. With over €6.4 billion in assets under management and offices in London and Paris, Arjun has already established itself as a interesting player in European infrastructure investment, specialising in mid-market assets across sectors like energy, transport and utilities.
The decision to partner with Data4 reflects the increasing maturity of the European data centre market and the growing appetite among infrastructure funds to invest. Arjun joins existing shareholder Brookfield, which acquired Data4 in 2023, as part of an expanding investor base aligned with Data4’s long-term growth ambitions.
In February, Brookfield announced that up to €15 billion of data centre investment it committed at the Artificial Intelligence Action Summit in Paris would be led by Paris-headquartered Data4, which has plans to build over 500MW of data centre capacity located across several regions in France alone, with an ambition to triple that by 2030.
Mature assets
StableCo functions as a ring-fenced sub-portfolio within the wider Data4 platform, comprising its most mature and stable assets. While Data4’s full platform encompasses 1.5GW of contracted and developmental capacity across six European markets, StableCo is fully built, operational and revenue-stable. For Data4, the carve-out offers a mechanism to unlock value from mature assets while preserving operational control. The company will continue to manage the portfolio, maintaining direct oversight of the customer experience and technical operations.
Arjun Partner Rohini Pahwa described the StableCo assets as “market-leading, essential infrastructure backed by strong management,” and underscored the alignment with Arjun’s focus on real assets supported by long-term contracts.
Broadened capital base
For Data4, the new investment is a strategic win. It broadens its capital base when it needs to accelerate investment in digital infrastructure and it provides additional flexibility to fund new developments and campus expansions across Europe. Long-serving CEO Olivier Micheli welcomed the investment as a “clear validation” of Data4’s campus development model and international growth strategy, stating that the company is now better positioned to consolidate its “leadership in the European data centre market”.
The transaction also shows there’s a growing trend among infrastructure operators to recycle capital from stabilised assets into development. By forming strategic partnerships with infrastructure funds, companies like Data4 can scale more rapidly while retaining control of their platforms.
Arjun’s investment also provides the proverbial thumbs-up to Data4’s two-pronged strategy: developing large-scale campuses capable of hosting hyperscale and cloud operators, while simultaneously structuring its asset base to attract institutional partners without ceding control.
