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Raised Funding from Activate Capital to Enhance Cooling Technology for Data Centers by XNRGY

Activate Capital and XNRGY Climate Systems have revealed that Activate has made a strategic move to invest in XNRGY, a leading North American firm known for manufacturing sustainable air handling and liquid cooling technologies. This investment is aimed at boosting the company's growth,...

Raised Funding from Activate Capital to Accelerate Progress in Data Center Cooling Technology...
Raised Funding from Activate Capital to Accelerate Progress in Data Center Cooling Technology Innovation (XNRGY)

Raised Funding from Activate Capital to Enhance Cooling Technology for Data Centers by XNRGY

### XNRGY Secures Strategic Investment for Manufacturing Expansion and Next-Generation Cooling Solutions

XNRGY, a leading North American manufacturer of sustainable air handling and liquid cooling technologies, has recently secured a strategic investment from Activate Capital. The funding amount was not disclosed, but the capital is earmarked to accelerate XNRGY's growth, expand its domestic manufacturing presence, and drive the development of next-generation cooling solutions for data centers and other mission-critical infrastructure.

A key milestone in XNRGY's recent growth is the opening of a new 275,000-square-foot manufacturing facility in Mesa, Arizona, which began production as of May 1, 2025. This site is the first phase of a planned one million-square-foot innovation campus, significantly boosting XNRGY's U.S. manufacturing capacity and enabling the company to better serve rising demand for efficient thermal management solutions—especially from hyperscale, modular, and edge data centers.

XNRGY specializes in both air handling and liquid cooling technologies that are engineered for high ambient temperature environments, offering advanced energy efficiency, modular scalability, and proprietary controls integration. Their systems are designed for data centers, healthcare, clean rooms, and advanced manufacturing, with a focus on performance, reliability, and climate resilience. The company’s liquid cooling platforms are particularly notable for their ability to address the increasing energy demands of AI-driven data center infrastructure.

With Activate Capital's backing, XNRGY plans to further expand its domestic manufacturing footprint, particularly in the United States, to meet growing market needs. The Mesa facility is just the beginning, as the company envisions a larger innovation campus to support future product development and scaling efforts.

The investment will fast-track the deployment of XNRGY’s cooling systems, targeting not only traditional data centers but also emerging sectors that require mission-critical thermal management. This includes serving hyperscale operators, modular data center providers, and edge computing applications, where energy efficiency and reliability are paramount.

Anup Jacob, Managing Partner at Activate Capital, states that XNRGY's technical depth and domestic manufacturing capabilities position it to deliver the efficiency breakthroughs needed for global infrastructure. He also highlights XNRGY's potential to support the AI-driven transformation of global infrastructure through efficiency breakthroughs.

Wais Jalali, Founder and CEO of XNRGY, is thrilled to partner with Activate Capital in the next phase of growth. He emphasizes the partnership's shared vision to deliver ultra-efficient cooling systems, positioning XNRGY for rapid growth and a larger share of the North American sustainable cooling market.

When fully operational, the Mesa project is projected to employ more than 1,000 skilled workers. These systems are developed by experienced HVAC engineers and are tailored to meet the increasing operational standards of modern data infrastructure. XNRGY offers a full range of solutions, including Liquid Side, Air Side, and complete thermal management with proprietary control integration.

Sources:

1. XNRGY Press Release, "XNRGY Secures Strategic Investment to Accelerate Growth and Expand Manufacturing Capacity," May 1, 2025. 2. Activate Capital Press Release, "Activate Capital Invests in XNRGY to Drive Next-Generation Cooling Solutions for Data Centers," May 1, 2025. 3. Anup Jacob Interview, "XNRGY's Technological Advancements in Cooling Systems," TechCrunch, May 3, 2025. 4. Wais Jalali Interview, "The Future of Sustainable Cooling with XNRGY," GreenBiz, May 5, 2025. 5. XNRGY Website, "About Us," May 1, 2025.

  1. To drive the expansion of XNRGY's business and the development of next-generation cooling solutions for data centers, XNRGY has secured a strategic investment from Activate Capital, a technology-focused investment firm.
  2. With this investment, XNRGY plans to harness data-and-cloud-computing technology to optimize its cooling systems for emerging sectors, including hyperscale data centers, modular data center providers, and edge computing applications, where energy efficiency and reliability are crucial.

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