(Reuters) – Starboard Value Acquisition Corp’s special-purpose acquisition company is discussing a merger agreement with Cyxtera Technologies Inc that would value the data center provider at about $ 3.4 billion including debt, the Wall Street Journal reported here on Sunday.
Current owners of Cyxtera, including private equity firms BC Partners and Medina Capital, are planning to transfer their holdings to the combined firm, the report said, citing people familiar with the matter.
The deal could be finalized on Monday, assuming negotiations do not fall apart, the report said.
Starboard and Cyxtera did not immediately respond to Reuters requests for comment.
SPAC raised US $ 360 million when it went public in September last year.
Miami-based Cyxtera has more than 60 data centers that provide services to thousands of companies and agencies in the United States federal government, according to the company’s website.
Cyxtera’s 2020 revenue was about $ 690 million, the WSJ reported citing sources.
Reporting by Maria Ponnezhath and Aishwarya Nair in Bengaluru; Editing by Vinay Dwivedi