D-Day looms for AirTrunk’s $20b-plus auction; bidders churn through ICs

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D-Day looms for AirTrunk’s $20b-plus auction; bidders churn through ICs
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It’s the biggest deal of the year, and one which almost every investment bank and law firm is devoting their best M&A talent.

Already a subscriber?The two consortiums vying for homegrown data centre giant AirTrunk have secured investment committee approvals for their final offers, Street Talk can reveal. That ticks off the last item on checklists for bidders in the $20 billion-plus auction that’s expected to rewire sector valuations and generate career-defining deal credits for those involved.

Come Tuesday, sell-side advisers Goldman Sachs and Macquarie Capital are expected to take the final offers to the sellers’ – Macquarie Asset Management and Canada’s PSP Investments – for approval, especially around any ‘conditions precedent’ demanded by the bidders including FIRB approvals, financing consents and customer contracts.

Sources said AirTrunk could have a preferred bidder by late this week, with the chosen party expected to be offered a short spell of black-box due diligence before the two camps agree exclusivity. AirTrunk’s lender syndicate has already consented to staying on with the new owners. It’s the biggest deal of the year, and one which almost every investment bank and law firm is devoting their best M&A talent. In all, at least eight investment banks have scored roles – Morgan Stanley, Deutsche Bank and RBC Capital markets are with the Blackstone consortium, while the IFM syndicate has Barrenjoey, JPMorgan, UBS.

has co-edited Street Talk since 2009, specialising in private equity, investment banking, M&A and equity capital markets stories. Prior to that, she spent 10 years in London as a markets and M&A reporter at Bloomberg and Dow Jones.

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