Data centre operator iseek bought for $400m

Data centre operator iseek is set to be acquired by asset manager HMC Capital for $400 million.

iseek data centre, Brisbane
I-Drone

iseek has a portfolio of seven co-location data centres located across Queensland, South Australia and NSW.

Its acquisition comes just two weeks after HMC announced plans to purchase fellow co-location facility operator Global Switch Australia for $1.9 billion.

iseek currently has over 500 customers using its 6MW of installed IT capacity and has plans to increase its capacity to 34MW in total.

The acquisitions will ultimately be owned by a real estate investment trust (REIT), named DigiCo Infrastructure, that will list on the ASX.

In total, DigiCo will have 13 tier 1 and 2 hyperscale and colocation data centres across Australia and North America.

In a joint statement, iseek CEO Scott Hicks and founder, executive director Jason Gomersall said the deal would “accelerate iseek’s next phase of growth”.

"A significant portion of the acquisition proceeds will be taken in scrip in the DigiCo Infrastructure REIT IPO which is a testament to our strong conviction in the REIT's investment strategy and growth runway," they said.