NEXTDC RAMPS UP ITS TAKEOVER OFFER OF ASIA PACIFIC DATA CENTRE
Written on the 31 July 2017 by David Simmons
The move follows last week's announcement that NEXTDC would enter a bidding war with competitor 360 Capital Group (ASX: TGP) to takeover APDC.
The takeover bid still trumps the offer made by 360 Capital, which is looking to acquire all the securities in APDC for $1.80 per share.
NEXTDC says the new offer price represents "compelling value" as it is a record price compared to any closing price of the APDC shares since it listed on the ASX on 9 January 2013.
NEXTDC CEO Craig Scroggie says his company is the logical group to takeover APDC.
"We are making this Offer to APDC securityholders because we believe that we are the logical owner of the APDC data centres in the current circumstances," says Scroggie.
"Consistent with our strategy since 2015, we intend to own a greater proportion of the properties we operate."
NEXTDC currently has around 20 per cent relevant interest in APDC and is funding the takeover offer from existing cash reserves.
360 Capital holds almost 20 per cent of the data centre's shares too, and has proposed replacing APDC's board of directors in the past.
As the competitor, 360 Capital says it is continually assessing its options regarding the takeover and it expects to commence due diligence on APDC today.
"The assets within the AJD portfolio are very strategic and are attractive not only to Next DC, but also other global data centre operators and data centre investors," says 360 Capital.
Business News Australia
Author: David Simmons