Switch, a Las Vegas-based data center operator majority-owned by DigitalBridge Group, has started a private funding round led by Andreessen Horowitz, according to people familiar with the matter.

The round could raise about US$2 billion at a valuation approaching US$50 billion, including debt.

Andreessen Horowitz is expected to invest US$400 million, while Goldman Sachs and JPMorgan Chase are working on the deal, the people said.

The financing would come ahead of a potential initial public offering as soon as next year, though details could still change.

Switch had an equity value of about US$19 billion before the latest investment, the people said.

The planned round follows Switch’s 2022 take-private deal, valued at US$11 billion including debt, by a group that included DigitalBridge and Australian infrastructure manager IFM Investors.

Switch operates data centers in Nevada, Michigan, Georgia, and Texas.

🔗 Source: Bloomberg