Goodman Group, Digital Realty launch up to $499.7 million share bid on NextDC
DLR•Goodman Group and Digital Realty offered to buy up to 9.9% of NextDC for about A$715 million ($499.7 million), at A$9.50 per share. The offer price is a 45.5% premium to NextDC’s Wednesday close of A$6.53.
1. Share offer
Goodman Group and Digital Realty offered to buy up to 9.9% of NextDC for about A$715 million ($499.7 million), according to a term sheet. Their after-market offer is A$9.50 per share, 45.5% above NextDC’s Wednesday closing price of A$6.53.
2. NextDC challenges
NextDC shares have fallen 45% this year after the company said electricity network upgrades at a major Melbourne project would defer about A$140 million in contracted customer revenue this financial year. NextDC also said it would shelve new development projects and land acquisitions for the foreseeable future and evaluate capital recycling opportunities, including possible sales of selected development sites. The term sheet says Goodman Group and Digital Realty do not currently intend to make a takeover bid or seek control, but reserve the right to do so if circumstances change.
