Shares in Australian data center operator NextDC rose more than 42% on Thursday after Goodman Group and U.S.-listed Digital Realty sought to acquire stakes of up to 9.9% in the company. The shares were up as much as 43%, according to the report.
NextDC said in a regulatory filing that the two companies conducted an after-market bookbuild on Wednesday, seeking shares at A$9.50 apiece. The company said it did not know the outcome of the purchase process.
NextDC’s board described the move as “opportunistic.” It came two weeks after the company disclosed a power supply delay at its M3 Melbourne data center and revised its fiscal 2027 guidance.
Goodman and Digital Realty told investors they had no current intention of making a takeover bid, while reserving the right to do so.
The rally in NextDC came as U.S. data center stocks weakened overnight. CoreWeave shares fell about 9% on Wednesday, while Iren dropped roughly 11.2%. The declines followed Democratic victories in U.S. midterm elections that raised expectations of tighter scrutiny and possible restrictions on data center development, potentially slowing the expansion of AI infrastructure.
Sources: CNBC Markets.