Skip navigation
Cyxtera data center sign on its office building in Addison, Texas, USA JHVEPhoto / Alamy

Bankrupt Cyxtera Looks to Sell Data Centers to Brookfield

Digital Realty is also understood to have shown interest in Cyxtera's assets.

(Bloomberg) -- Bankrupt Cyxtera Technologies Inc. is in advanced talks to sell a large swath of its data centers to Brookfield Infrastructure Partners, according to people familiar with the situation. 

As part of its Chapter 11 filing, Cyxtera has been looking at two possible tracks, either recapitalizing itself, with lenders taking control of the firm, or selling itself. Cxytera's and Brookfield Infrastructure Partners's negotiations are continuing and could still fall apart, according to the people, who asked not to be identified because the matter is private. 

Representatives for Cyxtera, Brookfield Infrastructure Partners, and Cyxtera's financial adviser Guggenheim Securities declined to comment. 

Brookfield Infrastructure Partners has been building its data center holdings, with recent acquisitions of European firm Data4 and Compass Datacenters LLC. It also owns Dawn Acquisitions LLC, which does business as Evoque Data Center Solutions. 

Digital Realty Trust Inc. has also shown interest in some of Cyxtera's assets, Bloomberg previously reported. 

Prior to its June bankruptcy, Cyxtera had entered negotiations with lenders on how to tackle nearly $870 million of debt due next year. The company was formed in 2017 after CenturyLink’s data center and co-location business was combined with Medina Capital’s security and data analytics operations. In 2021, Cyxtera combined with a black-check firm in a deal valuing the combined company at about $3.4 billion on an enterprise basis.  

Cyxtera has scheduled a November 6 hearing to confirm its bankruptcy plan. 

Hide comments


  • Allowed HTML tags: <em> <strong> <blockquote> <br> <p>

Plain text

  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.