CEO Morning Brief

NEXTDC Seeks US$1.9b Loan to Expand Data Centres in Asia, Including Malaysia

edgeinvest
Publish date: Fri, 13 Sep 2024, 11:48 AM
TheEdge CEO Morning Brief

(Sept 12): NEXTDC Ltd, an Australian data-centre operator, is seeking a A$2.9 billion (US$1.9 billion or RM8.38 billion) syndicated loan from banks to expand its operations in Asia.

Chief executive officer Craig Scroggie confirmed the terms of the loan in an emailed reply to questions from Bloomberg.

“The market dynamics are extraordinary, driven by the surging demand for digital infrastructure to support the rapid expansion of cloud and AI technologies across the Asia-Pacific region,” he said in the statement.

The syndicated loan, together with a A$750 million capital raising announced Tuesday, will provide the firm with more than A$3 billion to fund a rollout of nine sites across the region, including Malaysia, Japan, New Zealand and Thailand, Scroggie said.

The data-centre industry is seeing a rush of recent deals with Blackstone Inc and Canada Pension Plan Investment Board agreeing last week to buy Australia’s AirTrunk in a deal valuing the firm at A$24 billion. The purchase was one of the largest in the digital infrastructure sector this year.

The NEXTDC loan is being led by Commonwealth Bank of Australia, HSBC Holdings plc, National Australia Bank Ltd and Royal Bank of Canada.

Uploaded by Chng Shear Lane

Source: TheEdge - 13 Sep 2024

Discussions
Be the first to like this. Showing 0 of 0 comments

Post a Comment