1846 ET - NextDC's acquisition of another site in Sydney for a wholesale hyperscale facility speaks to the Australian data-center operator's confidence in the pipeline of demand, Citi analyst Siraj Ahmed says. The ASX-listed company's latest A$550 million capital raise surprised Ahmed given it already had A$2.7 billion of liquidity already available for land acquisitions, but he explains that the timing is opportunistic. NextDC shares rose almost 10% at the end of last week after Blackstone agreed to pay A$24 billion for local rival AirTrunk. Ahmed tells clients in a note that it is now key for NextDC to win and deliver on large wholesale deals. Citi has a buy rating and A$19.25 target price on the stock, which is at A$17.84 ahead of the open (stuart.condie@wsj.com)
(END) Dow Jones Newswires
September 10, 2024 18:46 ET (22:46 GMT)
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