NextDC shares soared over 50% on Thursday after Goodman Group and Digital Realty acquired significant stakes in the Australian data center operator. The purchases were made at A$9.50 per share, a move NextDC’s board deemed opportunistic.
The surge contrasts with a downturn in U.S. data center stocks, driven by concerns over potential regulatory changes following the U.S. midterm elections impacting AI infrastructure development.
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Shares of Australian data center operator NextDC experienced a dramatic surge, closing 50.84% higher on Thursday. This significant increase followed the announcement that Goodman Group and U.S.-based Digital Realty have acquired stakes of up to 9.9% in the company. The shares were purchased at A$9.50 apiece in an aftermarket bookbuild conducted on Wednesday, according to a regulatory filing.
NextDC's board characterized the move as "opportunistic," noting it occurred shortly after the company disclosed a power supply delay at its M3 Melbourne data center and subsequently revised its fiscal 2027 guidance. Despite the purchase, both Goodman and Digital Realty informed investors that they currently have no intention of making a takeover bid, though they reserve the right to do so in the future.
This rally in NextDC shares stands in contrast to the recent sell-off observed in U.S. data center stocks. Overnight, shares of companies like CoreWeave and Iren saw notable declines. This broader market trend is attributed to concerns over potential tighter oversight and restrictions on data center development following significant Democratic victories in the U.S. midterm elections, which could impact the pace of AI infrastructure expansion.
