- Apollo Funds acquires European colocation business from STACK Infrastructure through a carve-out transaction.
- Acquisition includes seven data centers in key markets like Stockholm, Oslo, and Milan, serving blue-chip enterprise clients.
- The deal allows STACK EMEA to focus on hyperscale data center development.
Apollo Global Management Inc. (APO, Financial) has announced a strategic acquisition of STACK Infrastructure's European colocation data center business. This transaction, conducted through Apollo-managed infrastructure funds, includes seven data center assets situated in strategic, highly interconnected locations across Stockholm, Oslo, Copenhagen, Milan, and Geneva.
The acquisition is designed to position Apollo at the forefront of the growing demand for data center infrastructure, targeting enterprise colocation services among blue-chip clients such as telecommunications carriers, IT companies, and financial institutions. The standalone business will be led by CEO Sherif Rizkalla and will undergo rebranding, discontinuing the use of the STACK Infrastructure name.
STACK Infrastructure, a portfolio company of Blue Owl Digital Infrastructure (BODI), will shift its focus predominantly to hyperscale client development post-transaction. This strategic move allows both companies to specialize in their respective areas of strength within the digital infrastructure space.
All current employees and the existing management team of the EMEA colocation business are to transition with the newly formed company, ensuring continuity in operations and client relationships. This transition awaits regulatory approvals but stands as a testament to Apollo's confidence in the interconnection-rich, enterprise colocation market.
Legal counsel for the transaction is being provided by Latham & Watkins LLP. As part of Apollo's broader infrastructure investment strategy, this acquisition underscores its commitment to securing assets characterized by stable cash flow and growth potential amidst the expanding European digital infrastructure landscape.
