NZ's Infratil hits record high as CDC secures 555-MW data centre deal

Goodman

06/05/2026 01:56

May 6 (Reuters) - New Zealand's Infratil IFT.NZ said on Wednesday that CDC Data Centres has clinched a 555-megawatt data centre deal with a U.S. customer, lifting contracted capacity to more than one gigawatt and sending shares to a record high.

Infrastructure investor Infratil holds a 49.7% stake in CDC Group Holdings, parent of CDC Data Centres (CDC), which owns and operates large-scale data centres across Australia and New Zealand.

Shares of Infratil surged 10.7% to an all-time peak of NZ$14.22 in their biggest single-day jump since early December 2020.

The new 30-year contract with the U.S. client includes a renewal option of up to 20 years.

The capacity will be delivered across CDC campuses that are already under development and will become operational over FY28 and FY29, Infratil said.

"Today's announcement underscores Australasia's opportunity to attract global computing capacity, supported by regional stability, competitive build costs and access to renewable energy," Infratil CEO Jason Boyes said.

Citi raised Infratil stock's price target to NZ$15.70 from NZ$14.20, while retaining a "buy" rating. Brokerage sees upside to CDC's valuation, which will flow through to a higher net asset value for Infratil.

"We see positive read-throughs to data center exposed peers such as GMG (Goodman Group GMG.AX) too."

CDC expects to spend between A$3.8 billion and A$4.2 billion ($2.74 billion-$3.03 billion) in capital expenditure in fiscal 2027, driven by increased construction to satisfy surging data centre demand.

($1 = 1.3877 Australian dollars)

 (Reporting by Sneha Kumar in Bengaluru; Editing by Sherry Jacob-Phillips)

 ((Sneha.Kumar@thomsonreuters.com;))