Takanock, a provider of innovative digital and power infrastructure solutions, announced new capital commitments totaling $500 million from ArcLight and DigitalBridge, two leading investors focused on digital infrastructure and electrification infrastructure, respectively.
Takanock was launched in 2023 to address the power shortage limiting the development of data center sites in core markets. And the company spent its inaugural year engineering a scalable, integrated approach to solving critical energy constraints faced by data centers.
Headed by Kenneth Davies, founder of Google Energy and later head of Microsoft’s global renewable strategy, Takanock utilizes extensive experience in both energy and digital infrastructure. This expertise bridges the gap between the two sectors, delivering innovative solutions to address the increasingly critical power challenges faced by today’s data infrastructure sector.
Takanock advances the time to power by providing flexible on-site power solutions capable of serving as prime power until the completion of a substation and a wholesale grid resource thereafter. So Takanock eliminates the need for local utilities to build new off-site generation, reducing their burden and preventing the shifting of costs to existing utility customers—a challenge that has hindered industry growth. Unlike other generation solutions available in the market, Takanock sidesteps pipeline capacity constraints and the need for firm pipeline contracts, all while offering unparalleled resiliency during disruptions.
Takanock’s dispatchable power solution enhances the grid’s capability to support the greater integration of renewable energy sources and provides data center customers with the flexibility to procure their own energy resources. The company also uses best available emission control technologies and closed-loop cooling systems, which minimize environmental impact and ensure minimal demand on local water resources.
Since the start of 2024, Takanock has assembled a strategic portfolio of sites across the U.S., and the company is currently in the process of executing digital power deployment under long-term contracts at late-stage projects in Northern Virginia and Phoenix.
Advisor: Houlihan Lokey, a global investment bank with expertise in capital solutions, served as the exclusive financial advisor to Takanock during this transaction.
KEY QUOTES:
“To meet the increasingly compute-intensive needs of hyperscalers and large-scale data center operators, it’s essential to combine expertise from both the energy and digital sectors. What makes this partnership so significant is our ability to deliver integrated solutions, accelerating time to power for new data center deployment while strengthening grid reserve margins and flexibility. ArcLight and DigitalBridge bring tangible operational capabilities and industry connectivity that will help us operationalize digital power solutions in premier Tier I data center markets where existing constraints are most acute.”
Kenneth Davies, founder and CEO, Takanock
“Access to reliable power is the cornerstone for scaling the data center industry. The Takanock team has a demonstrated ability to deliver innovative commercial structures that bridge the gap between the power and data infrastructure sectors, enabling scalable, long-term solutions for both power and land development.”
Jon Mauck, Senior Managing Director and Head of Data Centers at DigitalBridge
“As the cost and availability of grid-served power grows increasingly uncertain, the data center industry needs new power-infrastructure solutions tailored to accelerate time to power and to deliver on the prerogatives of reliability, sustainability, and affordability. In a complex market that needs actionable solutions, we see Takanock’s team and strategy as compelling and differentiated.”
Jake Erhard, Partner at ArcLight
