(Bloomberg) — Bain Capital agreed to promote its knowledge facilities in China to Shenzhen Dongyangguang Business Co. in a transaction valued at about $4 billion.
Shenzhen Dongyangguang, the mum or dad of Shanghai-listed Guangdong HEC Expertise Holding Co., is main a consortium that additionally options institutional buyers together with insurers and native authorities funds in buying the China belongings of WinTrix DC Group, in accordance with an announcement Wednesday. WinTrix was previously often called Chindata Group Holdings.
“Chindata has advanced into one in all China’s main digital infrastructure platforms, with unmatched scale and technical capabilities,” Jonathan Zhu, associate and chair of China at Bain Capital, stated within the assertion. “HEC will proceed to construct on this legacy, bringing its robust industrial capabilities to help the subsequent part of Chindata’s improvement.”
Guangdong HEC and its associated occasion will inject 3.5 billion yuan ($491 million) and 4 billion yuan, respectively, right into a three way partnership to purchase the belongings, in accordance with a separate assertion. Guangdong HEC will maintain about 46.7% within the JV after the capital injection, which it stated might have “sure affect” on its enterprise operations.
Guangdong HEC was competing with different bidders together with knowledge heart companies supplier Vary Clever Computing Expertise Group Firm, gaming firm Youzu Interactive Firm, state-backed funding agency Beijing Capital Group Firm and Inesa Group Firm, Bloomberg Information reported in late August.
Shares of Guangdong HEC rose virtually 9% on Thursday, taking their achieve this yr to 131% and lifting the corporate’s market capitalization to $11 billion. Guangdong HEC provides aluminum capacitors and electrode foils which are utilized in AI programs and knowledge heart computer systems, in accordance with its interim report.
Chindata’s China enterprise counts ByteDance, the Chinese language proprietor of TikTok, as one in all its key shoppers.
Digital infrastructure is turning into a well-liked goal for buyers on the lookout for steady returns and progress because the world turns into more and more reliant on AI in each day life.
Based in 2015, Chindata runs knowledge facilities in main hubs together with Beijing, the Yangtze River Delta and the Larger Bay Space within the nation’s south. Chindata additionally has operations in India and Malaysia, its web site exhibits. Bain first acquired a stake in Chinadata in 2019 and accomplished a take-private deal in 2023.
