Real estate services firm CBRE has acquired Direct Line Global, a provider of mission-critical data center infrastructure.
The company this week announced the acquisition of Direct Line from Guardian Capital, a private equity firm. Terms of the deal were not shared.
“This acquisition fits squarely with our strategy of enhancing our capabilities in asset classes that benefit from secular tailwinds – in this case, the increasing digitization of the global economy,” said Vikram Kohli, chief operating officer of CBRE.
“Direct Line Global perfectly complements our existing data center management capabilities and provides us with best-in-class technical capabilities that differentiate our service offering.”
Founded in 1997 and based in California, Direct Line Global provides design, installation, maintenance, and management solutions for data center owners and operators, primarily in the US. It is focused on serving technology companies across the hyperscale market, as well as colocation and enterprise segments.
Direct Line Global will operate as part of CBRE’s Data Centers Solutions business within the Global Workplace Solutions business segment.
CBRE currently focuses on facilities management services, while Direct Line Global provides technical services, such as server support infrastructure. CBRE said the acquisition gives the company the ability to deliver integrated data center solutions.
“We see huge benefits from operating as part of CBRE,” said Bill Nelligan, chief executive officer of Direct Line Global. “Our business has strong momentum, driven by the economy’s voracious appetite for data and artificial intelligence’s explosive growth. We are particularly energized about the opportunities that CBRE’s preeminent global platform will afford us for overseas growth.”
Direct Line has more than 1,000 employees including significant operations in northern Virginia with additional operations in Hong Kong, the Philippines, Singapore, and South Korea.
Guardian invested in Direct Line in 2018.
“During Guardian’s ownership, the company invested to scale its platform, including operations and delivery, data center services offerings, geographic market expansion, and partnership with blue-chip customers,” Scott Evans, founding partner at Guardian, added. “The company is well positioned to meet the increasing demand for data center services. I am proud of the exceptional performance of the management team and look forward to seeing the company’s future success under the ownership of CBRE.”
Davis Graham & Stubbs LLP advised Guardian and Direct Line, and Lincoln International LLC acted as Direct Line’s exclusive financial advisor. Sullivan & Cromwell LLP provided legal advice for CBRE.