Basically, it’s also important to note that different interest rates must be applied throughout a project’s lifecycle (though no one really highlights this in their analyses). I work in asset management at a German insurance company and see significant differences in interest rates between the financing period leading up to the data center’s completion and the period after go-live. These are simply different risks that are refinanced at later stages (and may then be refinanced again, if necessary, based on the end customer’s needs).
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@Michey777 That’s a very important and interesting point! Long-term debt restructuring reduces financing costs; for example, this is the approach taken by $APLD.
Do you work in asset management with AI companies or Neoclouds?
Do you work in asset management with AI companies or Neoclouds?
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@Pazzzi Yes, I'm looking into it. Not so much in the area of convertible bonds, but basically, you can't avoid the topic. Data center financing is becoming more and more common and is being actively promoted by banks and companies like BlackRock, etc. Of course, all of this is mostly in the non-investment-grade sector.
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