Australia's HMC Capital hits record high, MS lifts PT after $1.3 bln data centre deal

HMC Capital

25/10/2024 01:22

(Updates with share moves)
** Shares of HMC Capital  HMC.AX  up as much as 7.1% to A$9.860,
hitting a record high
     ** Stock set for strongest trading session since late May
  
** Analysts at Morgan Stanley raise PT on the asset manager to
A$9.10 from A$8.80
     ** HMC's acquisition of Global Switch Australia to be
considered a positive, assuming successful launch of its
proposed listed and unlisted data centre funds, says Morgan
Stanley
** Asset manager HMC Capital raised A$300 mln ($199.08 mln) at
A$8.75 per share to fund the A$1.94 bln acquisition, to tap into
highly attractive data centre market    
** Brokerage estimates acquisition could add A$20 mln - A$30
mln+ to FY25 forecast earnings, assuming typical transactions
and establishment fees
    ** Stock has risen 49.5% YTD as of last close
     
     
    ($1 = 1.5069 Australian dollars)

(Reporting by Sneha Kumar and Shivangi Lahiri in Bengaluru)
((mailto:Sneha.Kumar@thomsonreuters.com))