Global Switch $10 Billion Deal Talks Peter Out on Valuation
- Work from prospective bidders has slowed down in recent weeks
- Buyout firms remain interested in acquiring Global Switch
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Discussions about a potential sale of Global Switch Holdings Ltd. have nearly ground to a halt, people familiar with the matter said, amid tightening financing conditions and lower-than-expected bids for the London-based data center company.
Deal talks between Global Switch’s Chinese owners and prospective bidders aren’t moving forward as the parties have been unable to bridge a significant value gap from the initial $10 billion sought by the sellers, the people said. While some bidders haven’t walked away from the discussions, access to financing and differing valuation estimates remain key hurdles to any transaction, the people said, asking not to be identified because the matter is private.