Goodman Group Forms $2.7 Billion Consortium for Hong Kong Data Centers, Eyeing AI-Driven Demand

Australia's Goodman Group creates $2.7 billion group to invest in Hong Kong data centres

SYDNEY, July 4 (Reuters) - Australia's Goodman Group (GMG.AX), opens new tab will establish a $2.7 billion investment consortium with international pension funds and investors to develop data centre businesses across Hong Kong, the company said on Friday. The industrial property group said it had joined forces with Dutch investors PGGM and APG, the Canada Pension Plan Investment Board, and CBRE Investment Management's Indirect Private Real Estate Strategies. It said an unnamed Middle Eastern investor was also involved. Goodman will be a 20% cornerstone investor in the partnership, it said in a statement. The group will own four existing Hong Kong data centres held by Goodman in an industrial partnership and two centres currently being developed. Goodman's portfolio accounts for approximately 30% of Hong Kong's data centre market by power capacity, it said. Goodman, which has similar data centre partnerships in Japan and Europe, said the Japanese business will have $1.1 billion in assets by the end of 2025. Goodman has a A$10 billion ($6.57 billion) industrial property portfolio in Hong Kong, part of which could be converted to data centres in the future, Chief Executive Greg Goodman said. "There's opportunities in the industrial portfolio. We have to basically redevelop them into data centres and they would then come into this partnership for development," Goodman told Reuters in a telephone interview. "There's a lot of inquiry now coming out of China, you've seen a big push in artificial intelligence in China. China is on a big growth path in regard to digital evolution and the whole AI sector. So you can expect a lot of Chinese operators also very interested in Hong Kong." Goodman in February raised $2.54 billion in a share placement to help fund the future growth of its global data centres business. ($1 = 1.5221 Australian dollars) Reporting by Scott Murdoch; Editing by Rachna Uppal Our Standards: The Thomson Reuters Trust Principles., opens new tab Suggested Topics:Emerging Markets Scott Murdoch Thomson Reuters Scott Murdoch has been a journalist for more than two decades working for Thomson Reuters and News Corp in Australia. He has specialised in financial journalism for most of his career and covers equity and debt capital markets across Asia and Australian M&A. He is based in Sydney.

Australia's Goodman Group creates $2.7 billion group to invest in Hong Kong data centres - The Economic Times

The industrial property group said it had joined forces with Dutch investors PGGM and APG, the Canada Pension Plan Investment Board, and CBRE Investment Management's Indirect Private Real Estate Strategies. It said an unnamed Middle Eastern investor was also involved.Australia's Goodman Group will establish a $2.7 billion investment consortium with international pension funds and investors to develop data centre businesses across Hong Kong, the company said on Friday. The industrial property group said it had joined forces with Dutch investors PGGM and APG, the Canada Pension Plan Investment Board, and CBRE Investment Management's Indirect Private Real Estate Strategies. It said an unnamed Middle Eastern investor was also involved. Goodman will be a 20% cornerstone investor in the partnership, it said in a statement. The group will own four existing Hong Kong data centres held by Goodman in an industrial partnership and two centres currently being developed. Goodman's portfolio accounts for approximately 30% of Hong Kong's data centre market by power capacity, it said. Goodman, which has similar data centre partnerships in Japan and Europe, said the Japanese business will have $1.1 billion in assets by the end of 2025. Goodman has a A$10 billion ($6.57 billion) industrial property portfolio in Hong Kong, part of which could be converted to data centres in the future, Chief Executive Greg Goodman said. "There's opportunities in the industrial portfolio. We have to basically redevelop them into data centres and they would then come into this partnership for development," Goodman told Reuters in a telephone interview. "There's a lot of inquiry now coming out of China, you've seen a big push in artificial intelligence in China. China is on a big growth path in regard to digital evolution and the whole AI sector. So you can expect a lot of Chinese operators also very interested in Hong Kong." Goodman in February raised $2.54 billion in a share placement to help fund the future growth of its global data centres business.

Australia's Goodman Group creates $2.7 billion group to invest in Hong Kong data centres

SYDNEY (Reuters) -Australia's Goodman Group will establish a $2.7 billion investment consortium with international pension funds and investors to develop data centre businesses across Hong Kong, the company said on Friday. The industrial property group said it had joined forces with Dutch investors PGGM and APG, the Canada Pension Plan Investment Board, and CBRE Investment Management's Indirect Private Real Estate Strategies. It said an unnamed Middle Eastern investor was also involved. Goodman will be a 20% cornerstone investor in the partnership, it said in a statement. The group will own four existing Hong Kong data centres held by Goodman in an industrial partnership and two centres currently being developed. Goodman's portfolio accounts for approximately 30% of Hong Kong's data centre market by power capacity, it said. Goodman, which has similar data centre partnerships in Japan and Europe, said the Japanese business will have $1.1 billion in assets by the end of 2025. Goodman has a A$10 billion ($6.57 billion) industrial property portfolio in Hong Kong, part of which could be converted to data centres in the future, Chief Executive Greg Goodman said. "There's opportunities in the industrial portfolio. We have to basically redevelop them into data centres and they would then come into this partnership for development," Goodman told Reuters in a telephone interview. "There's a lot of inquiry now coming out of China, you've seen a big push in artificial intelligence in China. China is on a big growth path in regard to digital evolution and the whole AI sector. So you can expect a lot of Chinese operators also very interested in Hong Kong." Goodman in February raised $2.54 billion in a share placement to help fund the future growth of its global data centres business. (Reporting by Scott Murdoch; Editing by Rachna Uppal)