APDC Offers Portfolio to NextDC under Pre-emptive
The Board of Asia Pacific Data Centre Limited (APDC), announced on 21 December 2017 that it had appointed real estate agents to commence a marketing campaign for the sale of the assets of APDC Trust.
The global sales campaign commenced on 21 December 2017 with a stated expectation of a sale price of $300 million. ADPC reported that there has been over 50 qualified enquiries and requests for confidentiality agreements.
NEXTDC is the tenant of each of the data centres and, under the leases, if APDC proposes to sell the data centres, it must first offer them to NEXTDC on specified terms, including as to price. If NEXTDC does not accept the offer within 20 business days of receiving APDC's offer, for the next 180 days APDC may sell the data centres to a third party on terms no more favourable than those set out in its offer to NEXTDC.
To deal with the first right clause under the leases with NEXTDC, APDC, has issued NEXTDC with a first right of refusal notice to purchase the entire portfolio of APDC data centres for $300 million. Therefore, NEXTDC has 20 business days in which to exercise their first right of refusal and if they do not, APDC is free to sell the portfolio for $300 million or more. 360 Capital Group has advised APDC that currently they are supportive of the disposal of the portfolio at $300 million or above.