The exit coincides with rising demand for energy-efficient data centre cooling fueled by AI growth.
The sale of Mubadala’s minority stake in CoolIT Systems to Ecolab, in a $4.75 billion deal led by KKR, marks a strategic exit as the company capitalizes on growing demand for AI-driven data centre cooling solutions.
Mubadala’s exit follows its initial investment three years ago with KKR, back when liquid cooling was still a niche technology in data centres. Since then, growing compute demands have made advanced cooling solutions essential, prompting operators to adopt more efficient systems.
Mubadala’s exit follows its initial investment three years ago with KKR, back when liquid cooling was still a niche technology in data centres. Since then, growing compute demands have made advanced cooling solutions essential, prompting operators to adopt more efficient systems.
Abdulla Mohamed Shadid, Head of Energy and Sustainability, Private Equity at Mubadala, said: “When we invested in CoolIT three years ago, we believed liquid cooling would be a key driver for sustainable digital infrastructure. Today, CoolIT has proven itself as a global leader in this technology, with demand for energy-efficient data centre solutions surging alongside the growth of AI.”
Growth driven by scale and demand
Since Mubadala’s 2023 investment, CoolIT has significantly expanded its operations, increasing manufacturing space to over 300,000 square feet, boosting coolant distribution unit capacity 25-fold, and doubling its workforce. This rapid scale-up mirrors broader industry trends, as operators upgrade infrastructure to meet surging AI workloads.
Looking ahead, the company is set for further expansion, with projections indicating approximately fourfold revenue growth and a tenfold rise in EBITDA by 2026.
Building on success and broader impact
“Our partnership with KKR and the CoolIT management team shows the value of active collaboration and aligned ownership. We are proud of what has been achieved and confident that CoolIT will continue this momentum into its next chapter,” said Abdulla Mohamed Shadid.
The deal matters beyond the data centre sector. Global data centre energy use is projected to hit 945 terawatt hours by 2030—more than double 2024 levels—while water demand rises sharply. Efficiency improvements in cooling are increasingly central to controlling costs and resource use. In 2025 alone, CoolIT systems saved roughly 2.18 billion kilowatt hours, enough to power about 200,000 homes for a year.
Looking ahead, Ecolab’s involvement adds a strong water management focus, addressing the dual pressures of energy and water consumption. The transaction is expected to close in Q3 2026, pending regulatory approvals.
Jason Waxman, CEO of CoolIT Systems, said: “The acquisition of CoolIT by Ecolab, a global leader in water management, represents an excellent outcome for our customers, employees, and shareholders. Mubadala’s support and partnership have helped transform CoolIT into a world-class provider of liquid cooling solutions for hyperscale computing. Our commitment to growing a strong business in the UAE will continue well beyond the completion of this acquisition.”
