Parties
Company
Cyxtera
Company
Brookfield Infrastructure Partners
On November 1, 2023, Cyxtera, a leader in data center colocation and digital infrastructure, announced its asset purchase agreement with Brookfield Infrastructure Partners L.P. and its partners for C$1.037 billion (US$775 million). This deal involved Brookfield acquiring most of Cyxtera's assets, including real estate for seven U.S. data centers, enhancing Cyxtera's facility ownership and cost structure control.
Nelson Fonseca, Cyxtera's CEO, emphasized the deal's positive impact on customers, partners, employees, and the company's growth trajectory. Cyxtera's ongoing restructuring saw continued business performance, reflecting customer confidence.
The agreement included a transaction with Digital Realty Trust, Inc. and Digital Core REIT for Brookfield to acquire real estate at several Cyxtera U.S. data centers. Cyxtera also modified lease terms with Digital Realty for six sites and agreed to sell its Montreal and Vancouver data centers to Cologix.
Legal and financial advisors were central to the transaction: Kirkland & Ellis LLP counseled Cyxtera; Guggenheim Securities, LLC and AlixPartners, LLP provided financial and restructuring advice. Moelis & Co. advised Brookfield, with Paul, Weiss, Rifkind, Wharton & Garrison LLP as legal counsel. Wells Fargo and TD Securities advised on real estate acquisition and financing.
The transaction's completion, subject to court and regulatory approvals, is expected in the first quarter of 2024, with terms filed with the U.S. Bankruptcy Court for the District of New Jersey.
Deal Type
Merger & AcquisitionIndustry
InfrastructureTransaction
$ 1,037,686,250Deal Status
ActiveClosing Date