Prnewswireยท2025-10-21 20:05Core Viewpoint - Meta Platforms, Inc. has entered into a joint venture with funds managed by Blue Owl Capital to develop and operate the Hyperion data center campus in Richland Parish, Louisiana, with a total development cost of approximately $27 billion [3][4]. Group 1: Joint Venture Details - The joint venture will see Blue Owl Capital owning an 80% interest, while Meta retains 20% ownership [3]. - Blue Owl Capital contributed approximately $7 billion in cash to the joint venture, and Meta received a one-time distribution of about $3 billion [4]. - Meta will provide construction and property management services for the project, leveraging its 15 years of experience in data center operations [2]. Group 2: Strategic Importance - This partnership aims to support Meta's long-term AI ambitions and enhance the speed and flexibility of its data center projects [2]. - The project is expected to create over 500 operational jobs once completed, with thousands of construction workers currently on site [5]. Group 3: Financial and Operational Structure - Meta has entered into operating lease agreements with the joint venture for the use of the facilities, with an initial term of four years and options to extend [5]. - To manage financial flexibility, Meta provided a residual value guarantee for the first 16 years of operations, which includes capped cash payments based on the campus's value under certain conditions [6]. Group 4: Advisory and Legal Support - Morgan Stanley & Co. LLC acted as the exclusive financial advisor to Meta for this transaction, while Latham & Watkins LLP provided legal counsel [7].