Related Digital Raises $16B to Accelerate Oracle AI Data Center Infrastructure Growth

The funding package, backed by Blackstone equity and PIMCO-anchored debt, marks one of the largest data center capital raises in U.S. history and forms a key pillar of the broader Stargate AI infrastructure initiative led by OpenAI and Oracle.

Data center developer Related Digital on Friday announced it has secured $16 billion in financing to build a large-scale artificial intelligence data center campus in Saline Township, Michigan exclusively for Oracle Corp.

The funding package includes equity contributions from Related Digital and funds affiliated with Blackstone Inc., as well as fixed-rate, long-term debt financing anchored by PIMCO-managed funds and accounts. Bank of America served as the structuring agent and financial adviser on the deal, while Goldman Sachs and Wells Fargo also advised Related Digital.

The financing milestone is, moreover, one of the largest data center capital raises in the country, according to Related Digital. The Saline Township campus located roughly 50 miles outside of Detroit will span 250 acres at the outset and is designed to exceed one gigawatt of power capacity. To put that in perspective, most data centers operate between 100 and 300 megawatts.

The project is being developed as part of the Stargate initiative, a $500 billion joint effort led by Oracle, OpenAI, and SoftBank to rapidly expand AI compute infrastructure across the United States.

OpenAI, Oracle, and Related Digital first announced the Saline Township campus in October 2024. At the time, the project carried an estimated value of $7 billion. As a result, the revised $16 billion financing figure more than double the original estimate raised questions among observers. A Related Digital spokesperson did not immediately respond to requests for comment on the discrepancy.

In terms of capital structure, Blackstone contributed approximately $2 billion in equity to the project, according to Bloomberg. The remainder of the $16 billion package consists largely of long-term debt. The notes, which mature in 2045, were priced at 98.75 cents on the dollar and carry a 7.5% coupon, Bloomberg reported.

Furthermore, the transaction remains subject to customary closing conditions. However, Related Digital confirmed that major construction is already underway in Saline Township, and the campus remains on schedule for delivery to Oracle.

ALSO READ : India’s SWAYAM Plus Gets 3 New AI Courses from IIT Madras

Oracle is the anchor tenant of the campus and plans to use it to power applications for OpenAI. The company has projected its AI business could generate some $90 billion in revenue by 2027. Meanwhile, the broader Stargate program aims to secure U.S. leadership in the global race to develop artificial intelligence.

On the technology side, the Saline campus will feature three single-story data center buildings, a closed-loop cooling system designed to protect Michigan’s water resources, and will target LEED certification. DTE Energy will supply power to the project, while Oracle is financing a new battery storage investment as part of the grid connection.

Despite the financial milestone, the project has nevertheless faced significant local opposition. The Saline Township Board voted 4-1 in September 2025 to deny rezoning of the agricultural land needed for the campus. Related Digital and participating landowners subsequently filed suit, alleging exclusionary zoning.

An October 2025 consent judgment between the township and the developer allowed the project to move forward despite the board’s initial refusal. In January 2026, the township board voted again to maintain agricultural zoning on more than 500 acres of the property though developers said the move would not affect the project under the existing consent judgment.

Additionally, a Saline Township resident has filed a motion in Washtenaw County Circuit Court seeking to unwind the consent judgment, alleging that the township board violated Michigan’s Open Meetings Act.

Not everyone is convinced, however. Local residents and environmental groups have raised concerns about energy demand, water usage, the loss of farmland, and the risk of higher electricity bills. More than 5,000 public comments were submitted to Michigan energy regulators during the review process.

For now, Related Digital says the Saline Township campus is on track. Once fully operational, the facility will serve as a cornerstone of Oracle’s AI infrastructure strategy and, by extension, OpenAI’s rapidly expanding computing ambitions under the Stargate umbrella.

Disclaimer: This news is based on publicly available information. NervNow has not independently verified any claims.

READ MORE 
Google Cloud and CVC Partner to Drive Agentic AI Across Industries
Meta Partners With AWS to Run Agentic AI on Graviton Chips
AI Warehouse Startup Smart Robotics Raises €10M in New Funding
AI Security Startup Deep Algorithm Raises ₹16 Crores in Fresh Funding
Era Raises $11M to Build Next-Gen AI Gadgets