Chindata Group, a Chinese data center operator, has revealed that investor Bain Capital, which owns 42.2% of the firm, has offered to buy it out and take it private. The transaction, which values Chindata at $2.93 billion, has piqued the interest of industry experts and investors alike.
Chindata, which specializes in the building and management of data centers primarily in China, India, and Southeast Asia, has had its stock price fall by more than 20% this year. However, following the announcement of the take-private offer, the company’s stock increased by nearly 14% to $7.18.
The Bain Capital offer values each American depositary share (ADS) of Chindata at $8, representing a premium of more than 27% over the stock’s recent closing price. While InvestorsObserver analyzed the firm and gave it a score of 58 out of 100. This score suggests that the stock now outperforms 58% of other stocks in terms of value. Furthermore, Chindata Group Holdings Ltd has a Short-Term Technical score of 60, indicating a neutral trading pattern over the last month.
The sources for this piece include an article in Reuters.