DigiCo shares lift as SYD1 data centre receives certified status from govt

The news: HMC Capital's DigiCo Infrastructure REIT has announced that its SYD1 data centre in central Sydney has been certified by the Department of Home Affairs as a "certified strategic" hosting provider of data centre services.

The context: This is the highest level of certification under the federal government's hosting certification framework (HCF) and allows the site to lease to government agencies and enterprises who supply government services.

E&P Capital analyst Annabel Khun said the certification is "positive news for the company", noting that a review event would have been triggered if DigiCo did not secure HCF status for the SYD1 site within an undisclosed timeframe.

Khun also noted that a majority of key customers — including government tenants, key hyperscalers, and any enterprise that hosts government workloads — could not look at leasing in the SYD1 facility until it received HCF status. Now DigiCo can return to market and begin to work on contracts with new customers, she said.