Stark Power Acquires Sagebrush Infrastructure, Securing 5.6GW Data Center Development Pipeline
June 8, 2026
Stark Power Acquires Sagebrush Infrastructure, Securing 5.6GW Data Center Development Pipeline
Israeli-listed energy company Stark Power has entered into a definitive agreement to acquire Sagebrush Infrastructure Partners, a US-based developer of data centers and powered land, in a deal that marks a significant expansion of its footprint in the North American market. The acquisition comes at a time when hyperscale cloud providers are racing to secure large-scale, energy-ready sites to support the growing demands of artificial intelligence and cloud computing workloads.
Under the terms of the deal, Stark Power will obtain the rights to five data center campuses currently under active development, which together represent a combined IT capacity of approximately 5.6 gigawatts. Each of these sites is being designed with co-located natural gas generation, enabling dedicated behind-the-meter power delivery — a configuration that is increasingly sought after by hyperscalers seeking to bypass grid constraints and ensure reliable, around-the-clock energy supply.
The flagship project within the portfolio is known as Sagebrush 1. While detailed specifications remain limited, Stark Power has confirmed that the site is located adjacent to existing utility-scale power infrastructure and is engineered to support more than 1.5GW of data center capacity. Additional information regarding the remaining projects and Sagebrush’s broader development pipeline was not immediately available, and Stark Power has been contacted for further comment.
To finance the acquisition and support its broader US expansion strategy, Stark Power raised approximately NIS 430 million ($140 million) from Israeli institutional investors, subject to the full exercise of related securities. The capital raise underscores strong investor confidence in the company’s strategic pivot toward large-scale powered land development in the United States.
“The acquisition of Sagebrush is a transformative milestone,” said Michael Avidan, chief executive officer of Stark Power. “By integrating Sagebrush’s deep development pipeline and proven leadership team, we are exceptionally positioned to deliver the powered land solutions required by the world’s largest hyperscalers.” Financial terms of the acquisition were not disclosed.
Based in Tel Aviv, Stark Power is led by Avidan, who previously served as head of Enlight Renewable Energy’s US operations. The company focuses predominantly on acquiring and developing powered land assets within the US market, positioning itself as a critical enabler for data center projects that require both scale and energy autonomy. The Sagebrush deal is expected to accelerate that strategy, giving Stark a foothold in multiple high-demand regions and a portfolio capable of serving some of the most capacity-hungry customers in the industry.
Source: datacenterdynamics
