NextDC to acquire a 20 percent stake in AUCloud

Nov 23, 2021 | Posted by AbdulRahmanOladimeji

NextDC has acquired a 20 percent stake in Australian cloud provider AUCloud. Sovereign Cloud Holdings is trading under the name AUCloud. It offers sovereign cloud services targeting defense intelligence, the Australian Government, and Critical National Industry customers. NextDC invested $17 million in AUCloud. By so doing, it has acquired a 19.99 percent stake in AUCloud after the company launched its latest $35 million share issue. The investment will see NextDC take a seat on AUCloud’s board.

CEO of NextDC, Craig Scroggie, said the company understands the dynamics of the cloud market through its network of world-class data centers across Australia. He noted that he’s confident that NextDC’s investment would put AUCloud in a position to capitalize on the increasing trend towards high-security solutions and sovereign IaaS cloud. According to AUCloud, the proceeds from NextDC’s investment will be used to develop three new sovereignty cloud platform zones in Adelaide, Melbourne, and Brisbane.

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