(Bloomberg) -- DigitalBridge Group Inc. is nearing a deal for data-center operator Switch Inc., according to people familiar with the matter. 

DigitalBridge, led by Chief Executive Officer Marc Ganzi, outbid Brookfield Asset Management Inc. for Las Vegas-based Switch, said the people, who asked to not be identified because the matter is private.

Talks are still ongoing and the deal may still fall apart, the people said. A deal, if finalized, may be announced later Tuesday. Switch is slated to report earnings after-market. The market capitalization of Switch, led by founder, Chairman and CEO Rob Roy, stood at about $7.3 billion as of Tuesday afternoon.

A Switch representative declined to comment. DigitalBridge representatives had no immediate comment. 

Mergers and acquisitions of data-center companies have proliferated, in part due to the sector’s fragmented nature and relatively strong growth dynamics. Switch is among the largest of such firms listed in the U.S., after giants Digital Realty Trust and Equinix Inc. Rival CyrusOne Inc. last year agreed to be acquired by KKR & Co. and Global Infrastructure Partners.

Switch shares gained less than 1% to $29.85 at 3:32 p.m. in New York trading, and have advanced 4.2% this year.

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