Cyxtera Technologies: Court approves Cyxtera sale to Brookfield

Nov 18, 2023 | Posted by Abdul-Rahman Oladimeji

The US Bankruptcy Court for the District of New Jersey this week approved the sale of substantially all of the Cyxtera assets to Brookfield Infrastructure Partners for $775 million. Both companies expect this deal to be finalized by the first quarter of 2024.

Nelson Fonseca, Cyxtera CEO said, “We are pleased to be moving forward with our sale to Brookfield, which will provide Cyxtera with additional financial flexibility and enable us to benefit from Brookfield’s global infrastructure expertise. Demand for our innovative data center services remains high, and we see significant opportunities ahead with our customers as we enter this next phase of growth.”

As part of the deal, Cyxtera will exit some of Digital Realty and Digital Core REIT-owned facilities over the next year, and sell two Canadian sites to Cologix. Cyxtera currently occupies space in eight MIT data centers across North America and six of the eight data center leases will be assumed with no changes.