Blackstone Inc is close to finalising a deal to acquire AirTrunk, an Australian data centre operator, for over AUD20bn ($13.5m) including debt, in what would be one of the largest infrastructure transactions of the year, according to a report by Bloomberg.
The New York-based alternative asset manager has outbid rival firms to become the preferred buyer for AirTrunk. Current owners Macquarie Group Ltd and PSP Investments, along with Blackstone, are in the final stages of negotiating the transaction, which could be signed as early as this week, the sources said, requesting anonymity due to the private nature of the discussions.
The deal is not yet finalised and terms may change as negotiations continue, while the parties involved have declined to comment on the matter.
To finance the acquisition, Blackstone has been in discussions with banks for a AUD5.5bn loan at the holding company level, complementing a pre-arranged AUD7bn funding package underwritten by four banks. Additionally, private credit funds have been negotiating to provide at least AUS1.5bn in junior debt.
Blackstone faced competition from a consortium that included IFM Investors Pty, DigitalBridge Group Inc, Global Infrastructure Partners, and Silver Lake Management.
Macquarie, a significant player in digital infrastructure, has been investing in AirTrunk since 2019, with key executives Ani Satchcroft and Ben Way leading the efforts. AirTrunk, which operates data centers across Australia, Singapore, Hong Kong, Japan, and Malaysia, was valued at approximately AUD3 billion in a 2020 deal led by Macquarie’s infrastructure arm, following its previous ownership by investors including Goldman Sachs Group Inc’s special situations division.
