HMC Capital to buy data centre group Global Switch Australia in $1.3 bln deal (updated)
23/10/2024 23:38
(Updates with further details and background)
Oct 24 (Reuters) - Asset manager HMC Capital HMC.AX
will acquire Global Switch Australia in A$1.94 billion ($1.29
billion) deal, the Australian firm said on Thursday, as the
company looks to tap into the booming data centre sector.
The firm, founded and backed by banker-turned-investor David
Di Pilla, will raise A$300 million at A$8.75 per share to fund
the acquisition.
HMC Capital's takeover comes as a Blackstone BX.N -led
consortium recently acquired larger data centre group AirTrunk
for over A$24 billion.
In recent years, HMC Capital has been involved in
several high-profile deals, including the reverse listing of
pharmacy giant Chemist Warehouse via Sigma Healthcare (SIG.AX),
in which it holds a stake
The global surge in demand for data centres, driven by
the rise of artificial intelligence, has prompted HMC to expand
into infrastructure-style investments.
Last year, the alternative asset manager acquired
US-based digital infrastructure asset manager StratCap, and has
said it is exploring a data centre REIT.
Global Switch Australia owns two large-scale developments in
inner Sydney, which HMC will acquire from Global DigiCo
Platform.
($1 = 1.5072 Australian dollars)
(Reporting by Rishav Chatterjee in Bengaluru; Editing by Sriraj
Kalluvila)
((Rishav.Chatterjee@thomsonreuters.com;))