The A$715 million ($492 million) purchase followed a sharp fall in the Australian data center operator’s shares. The buyers say they have no current plans to launch a takeover offer but reserve the right to do so.
Goodman Group and Digital Realty bought a 9.9% stake in NextDC last week for a reported A$715 million ($492 million), establishing an ownership link with the Australian data center operator.
The purchase followed the suspension of NextDC’s M3 expansion in Melbourne. Power delays and community backlash forced the company to cut its earnings forecast in October, sending its share price down 42%. The shares later recovered the ground lost after the forecast cut, CNA Business said on 9 November.
Both buyers compete with NextDC in data centers. Goodman owns, develops and manages property, including data centers and logistics facilities globally. Digital Realty is a New York-listed American real estate investment trust that owns, operates and invests in data centers worldwide.
Goodman and Digital Realty said they had no current plans to launch a takeover offer, but reserved the right to do so. They said they would welcome potential collaboration with NextDC’s board and management on ways to help address the company’s challenges.
The exemption for heat pumps, solar panels and batteries is due to end on 1 April. Industry groups warn that the deadline could bring a rush for installations followed by a downturn.
2 min
NVIDIA announced an investment in the interconnect developer Point2 and plans separate investments in Motif Technologies, RLWRLD and Upstage.
2 min
The coffee chain says recruitment will focus on the Midlands, northern England, Wales and Scotland as it targets growth north of London’s M25 ring road.
1 min
