Digital Realty and Interxion have entered into a definitive agreement to combine their businesses to create a leading global provider of data centre, colocation and interconnection solutions.
The transaction values Interxion at approximately $93.48 per ordinary share or about $8.4 billion of total enterprise value, including assumed net debt.
The combined company is expected to be uniquely positioned to meet the growing global demand from cloud platforms, service providers and enterprises seeking colocation, hybrid cloud and hyperscale data centre solutions as IT architectures are re-engineered to support the explosive growth of data in modern business models.
Also, the combination will create a pan-European data centre presence, offering services with low-latency access to approximately 70% of the GDP in Europe.
Interxion has a pipeline of data centre development projects currently under construction, with over $400 million invested to date and a total expected investment of approximately $1 billion.
“This strategic and complementary transaction builds upon Digital Realty’s established foundation of serving market demand for colocation, scale and hyperscale requirements in the Americas, EMEA and Asia Pacific and leverages Interxion’s European colocation and interconnection expertise, enhancing the combined company’s capabilities to enable customers to solve for the full spectrum of data centre requirements across a global platform,” said Digital Realty CEO A. William Stein.
Stein will serve as CEO of the combined company. Interxion CEO David Ruberg will serve as the chief executive of the combined company’s Europe, Middle East & Africa business, which will be branded “Interxion, a Digital Realty company.”
