Data-center company Cyxtera Technologies and Starboard Value Acquisition today announced the signing of a definitive business combination agreement that would value the merged company at $3.4 billion.
Proceeds of approximately $654 million include the SPAC’s $404 million cash in trust and commitments for a $250 million PIPE from institutional investors, including Fidelity Management & Research Company, and clients of Starboard Value.
Current Cyxtera owners will retain approximately 58% ownership of the combined company. The combined company will operate as Cyxtera and expects common stock wil list on the Nasdaq under CYXT and warrants under CYXTW.
Formed through the 2017 carve-out of the CenturyLink (now Lumen) data center and colocation business, Cyxtera has grown to become the largest privately held data center provider of retail colocation services globally. Read more.
