A Canadian investment fund and subsidiary of CBRE Global Investors, CBRE Caledon Capital Management, has bought a minority stake in a portfolio partnership worth $3.5bn and managed by Vantage Data Centers.
The partnership involves a group of investors including Colony Capital, Hana Financial Investment, and a fund sponsored by Rasmala Investment Bank.
As per the agreement, the group will pay Vantage $1.2bn for equity stakes in 12 data centers but will still let it operate the facilities. In return, Vantage will have more than a billion dollars to pump into its American and European expansion projects. The figure Caledon invested is unknown.
It is understood some of the data centers changing hands reside in Santa Clara, Montreal, and Vantage's Quincy Campus in Washington state. The portfolio covers more than 1.4 million sq ft (130,000 sq m) and over 150MW of IT capacity.
From Canada to the US
We reported on the deal earlier this month, but at that time the only named partner was Colony. The deal has now been completed.
Stephen Dowd, CIO of Private Infrastructure Strategies, Caledon, said: “CBRE Caledon is excited to complete this investment on behalf of our fund, separately managed accounts and co-investors as we continue to invest in infrastructure for the new economy.
Vantage's president and CEO, Sureel Choksi added: “We appreciate their continued support and commitment to provide the necessary capital to fuel our expansion across existing and global markets. This investment positions us to capitalize on new opportunities to meet our customers’ requirements in locations that matter most to them.”