BlackRock is spearheading a bond issuance to raise at least $12 billion in debt for a massive data center campus in El Paso, Texas, backed by Meta Platforms, Inc., according to sources familiar with the matter.

The global asset management giant, through its infrastructure business and private credit division, holds an 80% stake in the Texas data center project, with Meta as the primary tenant holding the remaining 20% equity.

Investment banks JPMorgan Chase and Morgan Stanley are reportedly underwriting this substantial project bond and are engaging with various potential investors to expand the funding pool.

This deal structure mirrors a previous collaboration for a Meta data center in Louisiana, which was backed by a record $27 billion private credit facility. BlackRock was a core investor in that project, committing over $3 billion last year.

BlackRock has been channeling tens of billions into the data center sector over the past year, including a $40 billion deal to acquire data center operator Aligned. The firm, led by CEO Larry Fink, has deepened its involvement in owning and operating physical assets through acquisitions like Global Infrastructure Partners (GIP) and HPS Investment Partners.