• Orange would contribute five data centres across four French campuses to a proposed 50/50 company
  • The platform targets 400MW, but the transaction remains subject to consultation and regulatory approval

The fact

Orange and infrastructure investor Morrison have entered an exclusivity agreement to create a jointly controlled data-centre company in France. The proposed 50/50 venture would receive five Orange data centres across four campuses in Chevilly-Larue, Aubervilliers, Chartres and Val-de-Reuil. The venture would target 400MW of capacity, nearly ten times the size of Orange’s current portfolio. Its €3bn investment programme would be funded through the existing assets, equity from Morrison and external debt.

Orange would contribute the data centres, operational expertise and access to customers. Morrison would bring infrastructure investment experience and capital. Orange Business is expected to be the venture’s exclusive distributor for colocation and hosting services, while Orange would continue to control the space used for its own systems. The parties expect to sign the transaction by the end of 2026 and complete it in the first quarter of 2027, subject to employee consultation and regulatory approval.

The assessment

The proposed venture would place Orange’s five French data centres in a separate company that could raise equity and debt for expansion. Orange would no longer finance the programme alone, but it would remain responsible for operating the facilities and selling capacity through Orange Business.

That structure gives the venture access to Morrison’s capital without removing Orange from the work needed to fill and run the sites. Orange would still need to secure customers, manage the facilities and decide how much space remains dedicated to its own systems. The announcement does not yet define which campus would expand first, how the 400MW target would be divided into phases or how much debt the company would take on.

For BTW readers, the transaction could widen the pool of capital available for Orange’s data-centre programme, but the first campus plan will determine whether that funding structure supports a deliverable project. It should set out the initial capacity, construction sequence and financing required for the first stage.

What to watch

Watch for Orange and Morrison to sign the transaction and secure regulatory approval. The first development plan should identify which campuses will expand, how the 400MW target will be phased and when initial capacity could enter service. Details of Morrison’s equity contribution and the venture’s debt would also clarify how the €3bn programme will be funded.