TIDMCORD
RNS Number : 3648X
Cordiant Digital Infrastructure Ltd
20 December 2023
20 December 2023
LEI: 213800T8RBBWZQ7FTF84
Cordiant Digital Infrastructure Limited
CRA agrees to acquire Cloud4com and DC Lu ice
Cordiant Digital Infrastructure Limited (the "Company" or
"CORD"), an operationally-focused, specialist digital
infrastructure investor, is pleased to announce that its Czech
portfolio company, České Radiokomunikace a.s. ("CRA"), has agreed
to acquire a pair of businesses from Aricoma a.s. in the data
centre and cloud services market, Cloud4com and DC Lu ice (together
the "Transactions").
The Transactions represent a significant advance in both the
scale and capability of CRA in the Czech Republic's fast-growing
data services market. The Transactions also clearly demonstrate the
implementation of the Company's "Buy, Build and Grow" model.
Cloud4com is being acquired for an initial consideration of CZK
870 million (GBP30.5 million), subject to customary adjustments and
with a further amount payable up to a maximum of CZK 485 million
(GBP17.0 million), depending on Cloud4com's EBITDA for the year
ended 31 December 2024. DC Lu ice is being acquired for CZK 130
million (GBP4.6 million), also subject to customary adjustments.
Both businesses are unlevered.
The purchase consideration for the Transactions is being funded
by CRA from its existing cash resources with no financing required
from the Company.
The Transactions are subject to the completion of Czech
corporate requirements and are expected to close in early January
2024.
About Cloud4com and DC Lu ice
Cloud4com is a leading cloud services provider in the Czech
Republic, providing private cloud and associated services for
enterprise customers. These cloud services are enabled by Virtix, a
software platform developed in-house by Cloud4Com. For the
financial year ending 31 December 2023, Cloud4com is expected to
generate revenue of CZK 155 million (GBP5.4 million) and EBITDA of
CZK 44.6 million (GBP1.6 million), both unaudited.
DC Lu ice is a Tier III data centre facility strategically
located in the "digital Danube" triangle, that is centred on
Brno-Vienna-Bratislava. The facility, which is owned and has 85
racks, is currently 32% utilised, newly renovated and located in a
highly secure private site.
Commenting, Steven Marshall, Chairman of Cordiant Digital
Infrastructure Management said:
"We are delighted to have agreed to acquire these attractive
data centre assets, which are being funded by organic cash flow at
CRA. These transactions are highly complementary to CRA's existing
data centre and cloud businesses, enhancing CRA's market leading
position in its respective areas of operations and further
demonstrating our active management approach through our "Buy,
Build and Grow" strategy."
Commenting, Benn Mikula, CEO of Cordiant Capital said:
"These acquisitions mark an important step in CRA's continued
growth in the Czech data centre and cloud services market. They add
capabilities and capacity to an already strong team. This market
segment is increasingly important to CRA's revenue mix."
Commenting, Miloš Mastník, CEO of CRA said:
"These transactions are an important milestone for CRA as we
continue to diversify our operations into high growth areas such as
data centres and cloud services. Cloud4com has achieved a leading
market position in the Czech Republic and we see a clear strategic
fit and synergistic value in adding Cloud4com and DC Lu ice to CRA.
We expect these assets to contribute strong revenue growth going
forward and we anticipate capturing margin expansion due to
increasing operating leverage. We look forward to working with the
Cloud4com management team to further develop and grow the combined
data centres and cloud businesses and cement CRA's leadership
position in that area of the market."
For Further Information, please visit
www.cordiantdigitaltrust.com or contact:
Cordiant Capital Inc.
Investment Manager
Stephen Foss, Managing Director +44 (0) 20 7201 7546
Celicourt
PR Adviser
Philip Dennis / Felicity Winkles / Ali AlQahtani +44 (0)20 7770 6424
Aztec Financial Services (Guernsey) Limited
Company Secretary and Administrator
Chris Copperwaite / Laura Dunning +44 (0) 1481 749700
Investec Bank plc
Joint Corporate Broker
Tom Skinner (Corporate Broking)
Lucy Lewis / Denis Flanagan (Corporate Finance) +44 (0) 20 7597 4000
Jefferies International Limited
Joint Corporate Broker
Stuart Klein / Gaudi Le Roux +44 (0) 20 7029 8000
Notes to Editors:
About the Company
Cordiant Digital Infrastructure Limited primarily invests in the
core infrastructure of the digital economy - data centres,
fibre-optic networks and telecommunication and broadcast towers in
Europe and North America. Further details about the Company can be
found on its website at www.cordiantdigitaltrust.com.
In total, the Company has successfully raised GBP795 million in
equity, along with a further EUR200m through a Eurobond with four
European institutions; deploying the proceeds into four
acquisitions: CRA, Hudson Interxchange, Emitel and Speed Fibre,
which together offer stable, often index-linked income, and the
opportunity for growth, in line with the Company's Buy, Build &
Grow model.
About the Investment Manager
Cordiant Capital Inc ("Cordiant") is a specialist global
infrastructure and real assets manager with a sector-led approach
to providing growth capital solutions to promising mid-sized
companies in Europe, North America and selected global markets.
Since the firm's relaunch in 2016, Cordiant, a partner-owned and
partner-run firm, has developed a track record of exceeding
mandated investment targets for its clients.
Cordiant focuses on the next generation of infrastructure and
real assets: sectors (digital infrastructure, energy transition
infrastructure and the agriculture value chain) characterised by
growth tailwinds and technological dynamism. In addition, Cordiant
applies a strong sustainability and ESG overlay to its investment
activities.
With a mix of managed funds offering both value-add and core
strategies in equity and direct lending, our sector investment
teams (combining seasoned industry executives with traditional
private capital investors) work with investee companies to develop
innovative, tailored financing solutions backed by a comprehensive
understanding of the sector and demonstrated operating
capabilities. In this way, Cordiant aims to provide value to
investors seeking to complement existing infrastructure equity and
infrastructure debt allocations.
About CRA
CRA is a diversified digital infrastructure company, operating
mobile towers, a broadcast network, data centres, a fibre network
and Internet of Things networks serving utilities. The company has
a history of offering superior customer service, increasingly
through integrated solutions spanning the spectrum of digital
infrastructure.
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