Search Icon

Cyxtera’s Approval for Sale to Brookfield: A Boost for Data Center Expansion

Miami, November 16, 2023, 05:06 PM Eastern Standard Time – Cyxtera (OTC: CYXTQ), a global leader in data center colocation, interconnection services, and digital infrastructure, has received approval from the U.S. Bankruptcy Court for the District of New Jersey for the sale of its assets to Brookfield Infrastructure Partners L.P. (NYSE: BIP, TSX: BIP.UN) and its institutional partners.

“We are thrilled to progress with our sale to Brookfield, enhancing Cyxtera’s financial flexibility and leveraging Brookfield’s global infrastructure expertise,” stated Nelson Fonseca, Cyxtera’s Chief Executive Officer. “The demand for our innovative data center services remains high, presenting significant growth opportunities for us and our customers in the realms of Hybrid Cloud and Dedicated Servers.”

Cyxtera recently entered into an asset purchase agreement (APA) with Brookfield for the sale of its assets. This agreement involves Brookfield acquiring the real estate underlying seven U.S. data centers, strengthening and optimizing Cyxtera’s data center portfolio in Hybrid Cloud and Dedicated Servers realms.

“Our collaboration with Brookfield will fortify our business, and we are dedicated to ensuring a smooth transition for all stakeholders. We extend our gratitude to our customers, partners, and employees for their unwavering support,” Fonseca added.

The transaction with Brookfield is expected to conclude in the first quarter of 2024, subject to regulatory approval and meeting customary closing conditions.

Additional Information:

For more information on the Company’s court-supervised process, visit CyxteraRestructuring.com. Court filings and other relevant details about the proceedings are available through the Company’s claims agent, KCC, at kccllc.net/cyxtera or by contacting KCC at (877) 726-6510.

Legal Counsel and Advisors:

  • Kirkland & Ellis LLP: Legal Counsel to Cyxtera
  • Guggenheim Securities, LLC: Financial Advisor
  • AlixPartners, LLP: Restructuring Advisor
  • Moelis & Co.: Exclusive Financial Advisor to Brookfield
  • Wells Fargo and TD Securities: Joint Financial Advisors to Brookfield
  • Paul, Weiss, Rifkind, Wharton & Garrison LLP: Legal Counsel to Brookfield

About Cyxtera:

Cyxtera is a global leader in colocation, interconnection services, and digital infrastructure. Its diverse portfolio offers flexible infrastructure solutions across its global data center platform and partner ecosystem. With over 2,300 enterprise and government customers, Cyxtera empowers businesses to scale faster and gain a competitive edge in the realms of Hybrid Cloud and Dedicated Servers. Learn more at Cyxtera.com.

Forward-Looking Statements:

This press release includes forward-looking statements subject to inherent uncertainties and risks. Actual results may differ materially from the predictions due to changing circumstances. Cyxtera and its affiliates do not undertake any obligation to update this information.