Macquarie-Backed Data Center Firm AirTrunk Weighs Stake Sale Among Options, Sources Say

Gillian Tan and Manuel Baigorri, Bloomberg News

(Bloomberg) -- AirTrunk, an Australian data center operator, is considering strategic options including a minority stake sale, according to people familiar with the matter.

The Asia Pacific-focused firm, which counts Macquarie Asset Management and PSP Investments among its backers, is working with Goldman Sachs Group Inc. and Macquarie Group Ltd. to help it explore the various options in order to fuel its ongoing growth, the people said. AirTrunk has drawn interest from a number of investors for a possible minority stake sale, they said.

The company is also considering an IPO, which would most likely happen in the US owing to its large and liquid markets, they said. The review also includes the potential sale of a majority stake, raising debt, or finding investors for specific projects, one of the people said.

Deliberations are ongoing and there’s no guarantee that AirTrunk will decide to proceed with any of the fundraising options under consideration, the people said, asking not to be identified as the information isn’t public. Representatives for AirTrunk and Goldman Sachs declined to comment, while Macquarie Group didn’t immediately respond to requests for comment.

Interest in data centers is rising as businesses and consumers increasingly rely on cloud-based services. Digital infrastructure providers have cited AI as a key driver of growth, with Oracle Corp. Chief Executive Officer Safra Catz saying on its recent earnings call that the company’s biggest current challenge is building data centers quickly enough to meet the demand.

A Macquarie Asset-led consortium that included PSP Investments acquired a major stake in the Sydney-headquartered firm in 2020, with Chief Executive Officer Robin Khuda retaining an interest in the company, according to its website. The deal valued AirTrunk at about A$3 billion ($1.9 billion), Bloomberg News reported at the time.

AirTrunk in August obtained a A$4.6 billion multi-currency sustainability-linked loan, the largest syndicated deal in Australia this year. Along with its home country, the company has data centers in Hong Kong, Japan, Malaysia and Singapore, its website shows.

--With assistance from Harry Brumpton.