Activate Capital invests in US-based XNRGY to scale data center cooling

Activate Capital has announced a strategic investment in XNRGY Climate Systems, a North American manufacturer of sustainable air handling and liquid cooling technologies. The funding will support XNRGY’s growth, expand its manufacturing footprint in the United States, and accelerate deployment of its cooling systems for data centers and other mission-critical infrastructure.

The announcement follows the launch of XNRGY’s new 275,000-square-foot (approx. 25,500 m²) facility in Mesa, Arizona. This marks the first phase of a planned one million-square-foot (approx. 93,000 m²) innovation campus. Production began on May 1, 2025, significantly increasing the company's capacity to meet rising demand for thermal management solutions across hyperscale, modular, and edge data centers.

XNRGY designs liquid cooling platforms that operate in high ambient temperatures, offering energy efficiency, reliability, and modular scalability. Its product portfolio includes Liquid Side, Air Side, and complete thermal management systems with proprietary controls. These are developed by experienced HVAC engineers to meet stringent data infrastructure standards.

“We are thrilled to partner with Activate Capital as we enter this next phase of growth,” said Wais Jalali, Founder and CEO of XNRGY. “Their expertise in scaling sustainable technologies aligns with our vision to deliver ultra-efficient cooling systems that meet the performance, environmental, and reliability demands of our customers.”

“XNRGY’s technical depth and domestic manufacturing capabilities position it to deliver the efficiency breakthroughs needed to support the AI-driven transformation of global infrastructure,” added Anup Jacob, Managing Partner at Activate Capital.

The Mesa facility is expected to employ over 1,000 skilled workers at full capacity and contribute to Arizona’s clean technology and advanced manufacturing sector.