Digital Core REIT Proposes Inaugural Acquisition Of Core Data Centres In Frankfurt And Dallas To Scale And Diversify Portfolio
September 22, 2022 – Digital Core REIT, a leading pure-play data centre REIT listed in Singapore and sponsored by Digital Realty, announced that it has entered into an agreement with Digital Realty to acquire a 25% interest in an institutional quality freehold data centre in Frankfurt, Germany, valued at €558 million, or approximately US$558 million (at 100% share), with the option to acquire up to an 89.9% interest in the Frankfurt facility and a 90% interest in an institutional quality freehold data centre in Dallas, Texas, valued at US$199 million (at 100% share), subject to suitable market conditions.
The effective interests to be acquired and the DPU accretion to be generated will depend upon whether Digital Core REIT raises capital through an equity fundraising to partially finance the transaction.
In the event the equity fundraising does not occur, Digital Core REIT will pursue a 100% debt-funded transaction, pursuant to which Digital Core REIT will acquire a 25% interest in the Frankfurt facility and will not acquire any interest in the Dallas data centre.
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