Digital Realty (DLR) Shares Drop 4% Following $3.5 Billion Acquisition of Blackstone’s Virginia Data Centers

Digital Realty is set to acquire a $3.5 billion stake in three data centers from Blackstone, which includes a payment of $1.2 billion in cash and $2.3 billion in shares. The data centers, located in Northern Virginia, are valued at $7.8 billion and include an 80% interest in two 96-megawatt facilities in Manassas and a 50% interest in another 96-megawatt center in Sterling.

The transaction is expected to close on Tuesday. Despite the strategic nature of this acquisition, the market reacted negatively, with Digital Realty's shares falling 3.7% before the market opened, indicating potential investor apprehension regarding the financial burden of the deal and its impact on the company's balance sheet

Stocks in this article

Company Price Change Change % AI
Blackstone BX.US 114.89 0.00 0.00% Sell
Digital Realty DLR.US 190.58 0.00 0.00% Buy

More economy news