Equinix’s (EQIX) sudden $3.5 billion takeover bid for U.K.-based TelecityGroup, which had agreed to merge with Interxion Holding, could spur yet more data center operators to jump into the industry’s M&A fray, analysts say. Potential acquirers and takeover targets include Digital Realty Trust (DLR) and Coresite Realty (COR). Equinix stock was up 2% in morning trading in the stock market today, hitting a more than 14-year high above 270 earlier
Equinix (EQIX) will gain a competitive edge on rivals as it expands its data center capacity globally amid a boom in demand from Internet companies and large companies shifting to cloud-based computing models, says Citigroup. Analyst Michael Rollins, who has a buy rating and price target of 256 on Equinix stock, met recently with Equinix CFO Keith Taylor and CTO Ihab Tarazi. “For the first time in at least two years, management expressed concern
More consolidation may be on the way among data center operators in the wake of U.K.-based Telecity Group’s takeover of Interxion Holding (INXN) in a $2.2 billion deal. Data center operators such as Equinix (EQIX) provide space, power and cooling. Customers pack the centers with their own computer servers and other gear. Cloud computing has increased demand for data center space. Apple (AAPL) and Internet companies including Google (GOOGL) and