Talks to buy digital infrastructure investor reportedly in advanced stages.
Data center investor DigitalBridge could be close to being acquired.
A report from IJGlobal suggests alternative investment management firm 26North is in advanced talks to acquire the digital infrastructure investor.
Energy trader Mercuria is speculated to be partnering with 26North on an acquisition, with a deal potentially set to be sealed within days.
The companies are yet to comment on the speculation.
US-based DigitalBridge manages, owns, and invests in digital infrastructure across the world. Its footprint includes more than 60 data centers, 20 interconnection hubs spanning 30 markets, and a modular Edge data center platform.
Founded as Colony Capital in 1991, the company acquired DigitalBridge Holdings in 2019, with the latter's founder and CEO, Marc Gazi, taking the reins of the combined company. Colony rebranded to DigitalBridge in 2021, shifting strategy to focus on digital infrastructure.
Today, the company’s investments include Vantage, DataBank, Scala, AtlasEdge, AIMS, Digita, Yondr, Landmark Dividend, Switch, and multiple fiber and tower firms.
"While we do not know whether the report is valid or any transaction imminent, we believe an acquisition of DBRG by a larger alternative asset manager makes strategic sense in order to broaden DBRG's scale," KBW analyst Jade Rahmani, who has a market perform rating on DigitalBridge, wrote in a note last week.
Launched in 2022, 26North has some $28 billion in assets under management. Its investment strategies include private equity, credit, insurance, and reinsurance solutions. Founder Josh Harris co-founded Apollo Global Management in 1990.
In a note to investors last year, asset manager Ave Maria warned that DigitalBridge could be acquired if efforts to raise funds prove unsuccessful.
