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[SITUATION] · [QUIET] · [BUSINESS]
2 clusters · 4 sources · 4 days · First seen · Last updated
CBRE expansion in data center infrastructure services
Overview
CBRE Group has initiated a strategic expansion into the data center sector through the acquisition of London-based Onnec Group. The acquisition, valued at an initial £460 million (approximately $613 million) with potential earnouts of up to £300 million, aims to bolster CBRE’s Critical Infrastructure Services business line.
Following the announcement of the deal, CBRE reported a 12.7% increase in third-quarter revenue to $11.517 billion. The company noted that its technical infrastructure services revenue grew by 80%, driven largely by the data center sector. Management expects this segment to reach nearly $7 billion in revenue by 2027. To sustain this momentum, CBRE is prioritizing mergers and acquisitions over share buybacks.
Entities
Goldman Sachs International · CBRE Group · Onnec Group · Vikram Kohli · J.P. Morgan Securities
Timeline
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[BUSINESS] 2 sourcesCBRE reports revenue growth driven by infrastructure services
CBRE reported a 12.7% rise in quarterly revenue to $11.517 billion, fueled by data center infrastructure growth, despite headwinds in capital markets due to high interest rates.
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[BUSINESS] 3 sourcesCBRE acquires Onnec Group for $613 million to expand data center services
CBRE is acquiring London-based Onnec Group for $613 million in cash, plus potential earnouts, to expand its global data center infrastructure and critical services capabilities.
Sources
commercialobserver.com · finchannel.com · propmodo.com · theascent.com