TPG Inc. is engaged in exclusive negotiations to buy Netrality Data Centers from Macquarie Group Ltd., people familiar with the matter said, with the transaction being discussed at a valuation in the $2 billion to $3 billion range.
Those sources indicated the process could move quickly, with a potential closing as early as this fall. However, they emphasized that talks are continuing and that no binding deal has been reached, leaving the outcome uncertain.
Market reaction to the news was muted but positive for the buyer: TPG shares rose 0.9% in Monday trading, according to the report.
About Netrality
Netrality Data Centers operates interconnection data centers and Meet Me Rooms across North America and offers colocation, powered shell, and wholesale data center services. The company currently controls 18 properties that together comprise approximately 3.3 million square feet and provide in excess of 100 megawatts of power capacity.
Backed by Macquarie Asset Management, Netrality positions itself as the largest privately held owner-operator of core interconnection facilities in the United States. Its stated focus is on acquiring network interconnection sites in strategic locations that serve latency-sensitive customers.
Market and sector context
The potential transaction touches multiple parts of the infrastructure landscape, including data center real estate, network interconnection services, and wholesale colocation. Any change in ownership could influence competitive dynamics among providers that cater to latency-sensitive businesses and carriers requiring dense interconnection points.
Current status
Discussions remain ongoing and a final agreement has not been guaranteed. The timeline cited by those familiar with the negotiations suggests the parties could conclude a deal by this fall, but that outcome is not assured.