Global Switch Holdings Ltd are contemplating a strategic decision to divide the data center group, aiming to reinvigorate a potential sale valued at approximately US$6 billion.
It is reported that discussions among the UK company’s shareholders revolve around the possibility of selling Global Switch’s operations in Europe and the Asia Pacific region separately to different buyers.
It has also been revealed that Global Switch is considering the prospect of separating its Australia business from its European and Asian operations, as disclosed by individuals familiar with the matter.
Global Switch, founded in 1998, has a portfolio of thirteen data centers positioned in Tier 1 cities across Europe and Asia-Pacific.
In a separate development earlier this month, Blackstone Real Estate Income Trust (BREIT), had pivoted its investment focus towards the data center sector in response to the burgeoning demand fueled by the widespread adoption of artificial intelligence (AI). Recent months have seen BREIT divest assets and increase liquidity to facilitate its investments in data centers. Unlike its earlier acquisitions, which totaled approximately $60 billion from the beginning of 2021 through Q3 last year, BREIT has refrained from large purchases since last fall.
Blackstone has demonstrated its commitment to the data center sector, having already invested over $8 billion in constructing data centers for major technology companies.
In June, Blackstone embarks into the Asian data center sector, beginning with India. Recognizing the critical role of AI in driving data center growth, BREIT has projected its data center investments to yield substantial profits.
