- Infratil (IFT) announces a 15 per cent increase in the value of its investment in CDC Data Centres to $2.76 billion
- The company says the independent valuation increase reflects the pipeline of development and strong customer interest in CDC’s services.
- CDC has four data centers under construction across Auckland, Canberra, and Sydney, with another expected to begin construction soon in Melbourne
- Due to the valuation, the company advised its FY22 International Portfolio Annual Incentive Fee is now $70 million
- Shares are trading 1.03 per cent lower at $7.67 each
Infratil (IFT) has announced a 15 per cent increase in the value of its investment in CDC Data Centres.
The valuation was completed independently with the last valuation completed at the end of June.
Infratil has a 48 per cent investment in CDC which is now valued at about $2.762 billion, up from $2.457 billion.
The company says the valuation increase reflects the pipeline of development and strong customer interest in CDC’s services.
CDC currently has four data centres under construction across Auckland, Canberra, and Sydney.
It is also planning expansion to Melbourne with the first phase of construction expected to commence soon. This was included in the valuation on the basis of a conservative uptake of capacity.
The valuer reduced the blended discount rate range to between 9.65 per cent and 10.05 per cent. This reflects the reduced risk associated with New Zealand data centres nearing the end of construction.
Due to the valuation, the company advised its FY22 International Portfolio Annual Incentive Fee is now $70 million, representing a $60 million increase since the end of September.
The assessment of the incentive fee in regards to Longroad Energy and Retire Australia has not been updated since the end of September.
The company notes that the International Portfolio Annual Incentive Fee will be determined on March 31 and based on independent valuations of each relevant investment.
Company shares closed today’s session trading 1.03 per cent lower at $7.67 each.