DigiCo sells Chicago data centre for $1b, plans further US asset sales
Make us a preferred source
Make us a preferred source on Google
The news: Data centre operator DigiCo Infrastructure REIT has announced the sale of its Chicago facility to an unnamed North American fund manager for USD750 million ($1.04 billion).
The numbers: HMC Capital-owned DigiCo said the sale price was a 5% premium to its purchase price in November 2024.
The deal, set to generate net cash proceeds of $360 million, will reduce the company’s net debt from $1.5 billion to $500 million. It will increase available liquidity to $900 million, and reduce gearing from 36% to 17%.
The context: DigiCo said it has also determined that monetising its LA-based sites LAX1 and LAX2 is “in the best interests of securityholders”.
“DGT is exploring options to realise value for these assets and will keep investors informed on developments,” the company said.
US asset sales are expected to be materially accretive to its funds from operations from FY27.
The company intends to explore capital management initiatives, including returning excess capital via enhanced distributions. Capital will also be deployed to further expand its Sydney data centre SYD1.
The source: ASX
