$225 Million Acquisition of Ten Seed Assets Across Nine U.S. Markets Establishes Colocation and AI Inference Platform

Platform will consist of Liquid Cooled High Density Enabled Seed Assets with 53 MWs of Immediate Power Availability

I Squared Capital (“I Squared”), a leading global infrastructure investment manager, today announced that it has entered into a definitive Purchase and Sale Agreement to acquire a portfolio of ten data center facilities from Cogent Fiber, LLC, an indirect wholly owned subsidiary of Cogent Communications Holdings, Inc. (NASDAQ: CCOI), for $225 million in cash.

The acquisition will seed a new U.S. data center operating platform focused on colocation, high-density deployments, and AI inference infrastructure. I Squared has committed up to $1 billion to build the platform through targeted capital investment, customer-led expansion, and additional acquisitions.

The seed portfolio comprises approximately 53 megawatts (MWs) of installed power capacity and approximately 259,000 square feet of available colocation space across nine U.S. markets: Chicago, Atlanta, Phoenix, Los Angeles, Kansas City, Baltimore, Houston, Nashville and Stockton. Together, these nine markets serve a combined population of over 63 million people. All ten facilities are purpose-built data centers owned fee simple and have room for expansion. In addition, these facilities are capable of supporting higher-density deployments, including liquid-cooling-enabled configurations.

Upon closing, I Squared will establish a new, standalone operating platform to own, operate, and grow the business with a seasoned management team in place from day one. The data center facilities offer a compelling combination of owned real estate, existing high density-enabled power infrastructure, multi-carrier interconnection, and attractive geographic footprint, providing the foundation for a scaled platform. The facilities have diverse and dense fiber connectivity, with close proximity to the local internet exchanges, positioning them well for a broad range of workloads including retail colocation, wholesale colocation, content, and latency sensitive AI inference workloads.

Gautam Bhandari, Co-Founder, Managing Partner and Global Chief Investment Officer, I Squared Capital, said: “Location, power, and connectivity are the three variables that determine a data center's long-term value, and these facilities have all three in markets where new supply is severely constrained. As AI moves from the training phase — where models are built — to the inference phase, where they are used by people and businesses every day, demand for high-density, low-latency facilities like these will only grow."

Bhandari continued: “This transaction is consistent with I Squared's disciplined approach to building infrastructure platforms from the ground up by acquiring strategically located assets and investing the capital and operational expertise needed to unlock their full potential.”

The transaction is expected to close in the third quarter of 2026, subject to customary regulatory approvals including the expiration of the applicable Hart-Scott-Rodino waiting period.

TVG Consulting Group LLC served as commercial and market advisor. Kirkland & Ellis LLP served as legal counsel. FTI Consulting served as carve-out and stand-up advisor.

About I Squared Capital

I Squared Capital is a leading independent global infrastructure investor dedicated to the mid-market, managing $60 billion in assets. Founded in 2012, I Squared has evolved into one of the most diverse infrastructure investors in the world, with investments across power & utilities; transportation & logistics; digital infrastructure; environmental infrastructure; and social infrastructure, providing essential services to millions of people worldwide. Today, the portfolio includes over 100 companies operating in more than 70 countries. Headquartered in Miami, the firm has offices in Abu Dhabi, London, Munich, New Delhi, São Paulo, Singapore, Sydney and Taipei. Learn more at www.isquaredcapital.com.

Disclaimers

This document does not constitute advice or a recommendation or offer to sell or a solicitation to deal in any security or financial product. It is provided for information purposes only. Investing involves risk; loss of principal is possible. Specific investments described herein do not represent all investment decisions made by ISQ. The reader should not assume that investment decisions identified and discussed were or will be profitable. Specific investment advice references provided herein are for illustrative purposes only and are not necessarily representative of investments that will be made in the future.

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