CDC secures AUD $17 billion valuation in ownership deal

A landmark agreement has been finalised by the three major shareholders of CDC data centres, ensuring the company remains under sovereign ownership while supporting its future growth.

CDC operates as the largest developer and operator of data centres in Australia and New Zealand, boasting a capacity pipeline of 2.5GW across its existing, under-construction, and planned projects.

The agreement follows an international bidding process initiated by Commonwealth Superannuation Corporation (CSC) in late 2024. The existing shareholders, Future Fund and Infratil, have opted to exercise their pre-emptive rights, acquiring all shares available from CSC, amounting to 12.04% of the total shares.

This transaction will see Future Fund increase its direct ownership in CDC by acquiring 10.46% of the available shares, thus bringing its total equity holding to 34.55%. Infratil will acquire the remaining 1.58%, raising its stake to 49.75%. CSC will continue to hold 12.04% of shares, with CDC's management team, headed by Chief Executive Officer Greg Boorer, retaining 3.66% of the shares.

The strategic move places CDC's enterprise value at approximately AUD $17 billion.

CDC Chief Executive Officer Greg Boorer commented on the transaction, saying, "I am thrilled to have the continued strong financial backing and support of Future Fund, Infratil and CSC."

Mr Boorer elaborated on the significance of the shareholders, noting, "The strategic importance of these shareholders and their long-term horizon means that CDC is best positioned for making the right moves to lock in long term growth in the relevant markets."

He also highlighted CDC's position to pursue ambitious growth targets, stating, "I believe CDC is best positioned to pursue its ambitious growth targets and consolidate its status as a data centre of global significance to the largest and most critical customers driving progress in the world today."

Reflecting on CDC's competitive edge, Mr Boorer said, "Our shareholders know that CDC has a relentless focus on serving our customers and delivering the highest levels of resilience, security and sustainability to meet their requirements."

"We have done that consistently since day one, which was 18 years ago. Over that time, our customers have become even more discerning and their needs have grown rapidly. It is our pleasure to not only meet – but exceed – customer expectations and create genuine, long-term partnerships built on trust," he added.

The announcement aligns with CDC's expansive development plans, marked by a recently initiated large-scale data centre campus in Melbourne's south-west. This new development began earlier this week, in cooperation with Federal, State and Local Government representatives, with an initial investment of AUD $2.7 billion.

This development follows the commencement of another campus in Sydney, both of which will collectively contribute approximately an additional 1GW of capacity to CDC's operations.

"The future is brighter than ever, and we are excited to embark on this next chapter of our journey," Mr Boorer stated.

"We will drive forward with the same passion and determination that have defined our success to date and continue to expand our capacity to deliver cutting-edge digital infrastructure," he said.

CDC plays a pivotal role in underpinning sectors essential to security, social, and economic well-being, such as Government and National Critical Infrastructure, Research and Education, Hyperscale, and Artificial Intelligence.

"I often say we are the critical infrastructure for critical infrastructure," said Mr Boorer. "With the most strategic shareholders in our corner, this transaction positions CDC perfectly to execute on our plans."