Digital Realty Trust To Buy InterXion

(RTTNews) - Digital Realty Trust Inc. (DLR) Tuesday said it has reached a deal to buy InterXion Holding NV, a data-center operator in Europe, for an enterprise value of $8.4 billion.

Digital Realty said it would issue 0.7067 shares to InterXion shareholders for each share they own, which equals about $93.48 a share, based on Digital Realty's closing price on Monday. With debt, the companies value the deal at $8.4 billion.

Completion of the transaction is subject to customary closing conditions, including approval by shareholders of Interxion and shareholders of Digital Realty.

"This strategic and complementary transaction builds upon Digital Realty's established foundation of serving market demand for colocation, scale and hyperscale requirements in the Americas, EMEA and Asia Pacific and leverages Interxion's European colocation and interconnection expertise, enhancing the combined company's capabilities to enable customers to solve for the full spectrum of data center requirements across a global platform," said Digital Realty CEO William Stein.

Stein said the company expects the deal to be accretive to the long-term growth trajectory of the combined organization.

Stein will serve as CEO of the combined company, while Interxion CEO David Ruberg will serve as the Chief Executive of the combined company's Europe, Middle East & Africa (EMEA) business.

Upon completion of the transaction, Interxion shareholders will own about 20% stake in the combined company.