Blackstone data center REIT IPO seeks $1.75 billion

The spot is acceptable up arsenic a existent property concern spot and aims to bargain stabilized, tenant-occupied information centers valued betwixt $250 cardinal and $1.5 billion. It focuses connected properties with tenants who person investment-grade recognition ratings and are large-scale operators. Reuters reports the spot has identified $25 cardinal successful imaginable deals successful places similar Northern Virginia, Ohio, Phoenix, Maryland, and Austin.

As an added incentive, the spot is giving IPO participants other shares amounting to 1% of their full investment, with immoderate fractional shares dropped to the adjacent full number. According to the filing, a related Blackstone entity has expressed intent to enactment successful the IPO for up to $200 cardinal worthy of shares, with that fig reduced by the worth of immoderate bonus shares allocated.

Day-to-day absorption of the spot volition remainder with an affiliated Blackstone entity compensated done a operation of basal and performance-based fees. The spot is besides positioned up of different Blackstone-managed funds erstwhile it comes to acquiring information centers that the steadfast originates.

"With an estimated $1 trillion full addressable stabilized information halfway marketplace expected implicit the adjacent 5 years, we judge the manufacture represents a important concern opportunity," the institution said successful its filing.

The IPO reflects 2 priorities for Blackstone, which manages $1.3 trillion successful assets: establishing itself arsenic a large capitalist successful AI infrastructure and expanding its capitalist basal beyond organization clients specified arsenic pensions and endowments. Reuters noted that Blackstone has invested implicit $150 cardinal successful information halfway assets since 2018.

The offering connects to Blackstone's broader information halfway push. The steadfast was portion of a woody successful which Related Digital and Blackstone secured $16 cardinal successful financing for a information halfway field successful Saline Township, Michigan, built for Oracle. Blackstone contributed astir $2 cardinal successful equity to that project, according to Bloomberg.

The underwriting syndicate includes Goldman Sachs, Citigroup, Morgan Stanley, Barclays, Bank of America, Deutsche Bank, JPMorgan Chase, Royal Bank of Canada, and Wells Fargo arsenic associated pb book-running managers. Once listed, the trust's shares volition commercialized connected the NYSE nether the ticker BXDC.