Digital Realty Announces Joint Venture Of Stabilized Hyperscale Data Centers In Chicago; Digital Realty Will Receive ~$743M Of Gross Proceeds Related To The JV And The Associated Financing Will Maintain A 35% Interest In The JV While Managing Operations
Portfolio Pulse from Happy Mohamed
Digital Realty (DLR) has announced a joint venture with GI Partners, selling a 65% interest in two hyperscale data center buildings in Chicago. DLR will receive approximately $743 million from the deal and will maintain a 35% interest in the joint venture while managing operations. The company also granted GI Partners an option to purchase an interest in a third facility. The proceeds will be used to pay down debt and for general corporate purposes.
July 17, 2023 | 8:09 pm
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Digital Realty's joint venture with GI Partners and the sale of a 65% interest in two data centers could provide a significant cash influx of $743 million. This could strengthen the company's financial position and potentially boost its stock in the short term.
The joint venture and sale of a significant interest in two data centers will provide Digital Realty with a substantial cash influx. This could be used to pay down debt and for other corporate purposes, potentially strengthening the company's financial position and making it more attractive to investors. As a result, the company's stock could see a boost in the short term.
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