Hong Kong-based Gaw Capital could hold the key to the future of the Asia Pacific Data Centres Group.
The fund’s three data complexes have generated much heat, partly because the contest for them has drawn in one of the country’s top operators, NextDC.
The APDC Trust has put pressure on NextDC, which as tenant of the centres holds a right to acquire them, with the announcement that an offshore suitor has made a $280 million bid for the properties in Sydney, Melbourne and Perth after a campaign by Savills and Cushman and Wakefield.
But NextDC has indicated that it won’t match the $280m price. It previously rejected the APDC Trust’s price of $300m for all three data centre properties.
While Gaw’s involvement is yet to be confirmed, it has a solid record in Australia. It teamed with Abacus Property Group for a $200m opportunistic investment fund targeting industrial assets on Australia’s east coast.
It would also probably be acceptable to FIRB and NextDC, which is hoping for a period of peace after numerous stoushes with 360 Capital when it took control of the APDC Trust.
This column previously revealed that Singapore government investment vehicle Temasek is circling NextDC.
Whatever happens the deal appears to be a win for Tony Pitt’s 360 Capital, which stands to reap a return of about 60 per cent on the capital it invested in taking a two-thirds stake in the APDC Trust.
Once a deal is complete, 360 Capital will hold more than $120m in cash and be debt-free, allowing it to pursue fresh real estate opportunities.
NXT Price at posting:
$6.18 Sentiment: Buy Disclosure: Held
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