A CP Group and Global Infrastructure Partners joint venture is seeking underwriting commitments for a USD 1.27bn-equivalent loan for a greenfield data centre in Greater Bangkok, according to three sources familiar with the matter.

Each mandated lead arranger and bookrunner (MLAB) is expected to provide an underwriting commitment of USD 250m and retain a minimum hold of USD 100m, a document for the deal shows. The underwriting fee is expected to be 0.3%.

The loan proceeds are to be used to fund the development and operation of a greenfield built-to-suit AI data centre campus in Thepharak, Greater Bangkok. The project will have total capacity of 160MW, comprising an initial build-out of 111.8MW and an additional fit-out phase of 48MW, the document states.

Alibaba Cloud (Singapore) is to provide a guarantee for Alibaba Cloud’s Thailand unit’s offtake commitment to the data centre, the document shows.

The borrower of the proposed five-year, senior secured loan is Thai DC3 Company Limited, a Thailand-incorporated project special-purpose vehicle (SPV) wholly owned by Arise IDC Company Limited.

Thai conglomerate Charoen Pokphand Group (CP Group) indirectly controls 60% of the borrower, while BlackRock-owned infrastructure manager Global Infrastructure Partners (GIP) holds the remaining 40% stake.

The debt funding is expected to comprise: a USD 1.18bn five-year dual-tranche bullet term loan to fund project costs and related payments; a THB 1.3bn (USD 38.8m) five-year facility to fund operating and working-capital requirements; and a THB 1.7bn (USD 50.8m) five-year facility to support the issuance of closed-ended letters of guarantees (LGs). The LGs are to pay a fee of 1% per annum.

The proposed USD 1.18bn term loan is to comprise a USD 830m original project tranche, and an additional-capacity tranche of up to USD 350m, which may be increased subject to a maximum loan-to-cost ratio of 77.5%.

The original project tranche is to pay SOFR+ 260bps during construction, stepping down to SOFR+ 240bps from the ready-for-service date. The additional-capacity tranche is to pay SOFR+ 260bps, stepping down to SOFR+ 240bps from project completion.

The loan will include a USD-denominated Debt Service Reserve Facility (DSRF) which is to be pro-rata funded by lenders, with proceeds to be used to meet interest payments if the borrower has insufficient funds in its bank accounts to make those payments. The DSRF is to pay the same margin as the USD 1.18bn term loan and is to pay an upfront fee of 1.5% as well as a commitment fee of 30% of the term loan’s margin, the document shows.

Borrower-level security is to include a Thai-law business security agreement or conditional assignment over the borrower’s bank accounts, intercompany loan receivables, insurance proceeds and project documents, together with a Thai-law mortgage over the project land and related reinsurance rights, the document states.

Shareholder-level security will include a Thai-law pledge over the borrower’s shares, and a security agreement or conditional assignment of all intercompany loan receivables owed by the borrower.

Financial covenants are to include a minimum debt service coverage ratio of 1.10x, tested over the preceding 12-month period. The borrower and the shortlisted lenders are discussing the maximum net leverage ratio that would be set under the financial covenants, the document shows.

The facilities are to be governed by English law, except for local security documents, which are to be governed by Thai or Singapore law.

Terms of the proposed loan deal have not been finalised and are subject to changes, according to the sources.

In May 2025, GIP announced a strategic partnership with True IDC under CP Group.

Last November, Thai DC One, a joint venture between CP Group and GIP closed a USD 530m five-year bullet loan to develop a greenfield data centre in Rayong province with an initial capacity of 82.6 MW, Debtwire’s database shows. The loan pays SOFR+270bps, stepping down to SOFR+ 250bps once the data centre became operational. ByteDance-owned TikTok was the project’s anchor offtaker, as reported.